The Trader's Guide to the Euro Area: Economic Indicators, the ECB and the Euro Crisis

Chapter 12

Switzerland

The Swiss National Bank

The Swiss National Bank is the central bank of Switzerland. It was established in 1907 and has a head office in Berne and one in Zurich. Its primary task, like many of its international counterparts, is price stability. The SNB defines that concept as “a rise in the national consumer prices index of less than 2 percent per year.”1

The SNB announces its interest rate decisions four times a year – in March, June, September and December. This quarterly schedule differs from the monthly schedule of the BoE and the ECB.

The SNB has several key elements to its monetary policy strategy. They are:

1. A definition of price stability.

2. Inflation forecasts for a three-year horizon.

3. A target range for ...