{"id":31116,"date":"2026-03-19T13:59:08","date_gmt":"2026-03-19T13:59:08","guid":{"rendered":"https:\/\/www.vtmarketsglobal.com\/en\/uncategorized\/31116\/"},"modified":"2026-03-19T13:59:08","modified_gmt":"2026-03-19T13:59:08","slug":"switzerlands-central-bank-kept-rates-at-0-meeting-forecasts-as-investors-await-martin-schlegels-policy-guidance","status":"publish","type":"post","link":"https:\/\/www.vtmarketsglobal.com\/en\/live-updates\/31116\/","title":{"rendered":"Switzerland\u2019s central bank kept rates at 0%, meeting forecasts, as investors await Martin Schlegel\u2019s policy guidance"},"content":{"rendered":"The Swiss National Bank (SNB) kept its policy rate unchanged at 0%, in line with expectations. A press conference by Chairman Martin Schlegel is scheduled for 09:00 GMT.\n\nThe SNB now forecasts inflation of 0.5% in 2026, up from a previous forecast of 0.3%. It also projects inflation at 0.7% in Q4 2028.\n\n

Inflation Outlook And Policy Signal<\/h3>\nThe SNB said an excessive rise in the Swiss franc would jeopardise price stability. It added that the conflict in the Middle East has made the economic outlook more uncertain, and that inflation is likely to rise more strongly in the next quarters.\n\nAfter the decision, the Swiss franc weakened. USD\/CHF was down 0.1% at about 0.7925, near Wednesday\u2019s high.\n\nThe SNB is Switzerland\u2019s central bank and aims for price stability, defined as annual CPI inflation of less than 2%. It sets monetary conditions mainly through interest rates and exchange rates.\n\nThe SNB can intervene in foreign exchange markets to limit franc strength, including using foreign exchange reserves and, in 2011\u20132015, a euro peg. Its governing board decides policy once a quarter, in March, June, September, and December.\n\n

Trading Implications And Option Strategy<\/h3>\nWe see the Swiss National Bank holding its policy rate at 0%, which was widely anticipated following the surprise rate cut we saw in mid-2025. However, the upward revision of the 2026 inflation forecast to 0.5% is the key takeaway for us. This aligns with the recent February CPI data, which showed a year-over-year increase of 0.8%, suggesting price pressures are building slowly.\n\nThe bank’s statement warns that an excessive rise in the Franc would threaten price stability, a stance they have held since they stopped selling foreign reserves in early 2025. Yet, they also acknowledge that inflation is likely to increase in the coming quarters, creating a conflict for their policy. This growing uncertainty suggests that implied volatility on Swiss Franc options could be undervalued, presenting an opportunity for traders.\n\nIn the coming weeks, we should consider strategies that profit from a significant price move rather than a specific direction. For example, purchasing at-the-money straddles on USD\/CHF or EUR\/CHF options expiring after the June meeting could be effective. This position will benefit whether the bank is forced to intervene against Franc strength or signals a future rate hike more strongly than expected.\n\nWe must also watch external factors closely, especially the European Central Bank, which recently paused its easing cycle due to persistent inflation. A stronger Euro gives the SNB more room to tolerate a stronger Franc without it hurting exports as much. Meanwhile, rising oil prices, with Brent crude now trading near $95 a barrel, will continue to fuel import-led inflation and further complicate the SNB’s position.\n\nCreate your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b>\n

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Start trading now – Click here<\/a> to create your real VT Markets account <\/strong> <\/p>\r\n","protected":false},"excerpt":{"rendered":"

SNB holds policy rate at 0%, raises inflation forecasts, warns strong franc risks, cites Middle East uncertainty.<\/p>\n","protected":false},"author":38,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[46],"tags":[],"class_list":["post-31116","post","type-post","status-publish","format-standard","hentry","category-live-updates"],"acf":[],"aioseo_notices":[],"featured_image_src":null,"featured_image_src_square":null,"author_info":{"display_name":"josephine","author_link":"https:\/\/www.vtmarketsglobal.com\/en\/author\/josephine\/"},"_links":{"self":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/31116","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/users\/38"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/comments?post=31116"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/31116\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/media?parent=31116"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/categories?post=31116"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/tags?post=31116"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}