Swiss Central Bank Hints at Interest Rate Increase

Swiss National Bank President Thomas Jordan stated in an interview published today, Saturday, that the central bank may raise interest rates to contain inflation, which remains above the target. In comments reported by the newspaper (Corriere del Ticino), he defended the bank's commitment to achieving price stability, noting that such stability would be achieved when inflation is below two percent but still in the positive range. Government data released on Monday showed that inflation in Switzerland decreased in May year-on-year to 2.2 percent, but it remains above the bank's target range of zero to two percent since February 2022. Despite a recent decrease in price increases, analysts' and market expectations indicate that the central bank will raise interest rates in its scheduled meeting on June 22.