SNB's Jordan: Negative rates will remain an important instrument, to be used if needed

Following the Swiss National Bank's (SNB) decision to hike its policy rate by 75 bps on Thursday, Chairman Thomas Jordan noted that “negative rates will remain an important instrument, to be used if needed.”

Additional takeaways

Franc's recent appreciation has helped to dampen inflation.

Without policy rate increase, forecast inflation would be significantly higher.

Further increases in policy rate cannot be ruled out.