Swiss National Bank (SNB) Vice Chairman Antoine Martin is speaking at the post-policy meeting press conference, explaining the reason behind the surprise rate cut move.

Key quotes

Uncertainty about global economic outlook has increased.

Geopolitical tensions could lead to weaker global economic development.

Political uncertainty in Europe has risen.

Future course of US economic policy is uncertain.

Meanwhile, SNB governing board member Petra Tschudin noted that “Swiss economic growth should pick up slightly next year thanks to monetary easing.”

“Developments abroad are the main risk to swiss economy,” Tschudin added.

Market reaction

USD/CHF was last seen trading 0.50% higher on the day at 0.8885, with traders digesting the SNB’s surprise 50 basis points (bps) rate cut to 0.50%.