Share this article
- Back to menuPrices
- Back to menuResearch
- Back to menu
- Back to menu
- Back to menu
- Back to menu
- Back to menuWebinars
Return of Zero Interest Rate Policy as Swiss Central Bank Cuts Rates
The return to zero comes as tariffs threaten to deflate nations with trade surplus, such as Switzerland and China.
What to know:
- Switzerland's central bank slashed interest rates to zero, its sixth cut since March 2024.
- The move counters deflation and currency pressure from Trump’s trade war.
- A return to zero interest rates globally could boost bitcoin and other crypto, as seen during the COVID-era rally.
In this article
A COVID-era feature that characterized the bull run in all corners of financial markets, including bitcoin
, has made a comeback in Switzerland, one of the most financial powerhouses of the world.The Swiss National Bank (SNB) cut its interest rate to zero on Thursday, to counter falling inflation, appreciating Swiss franc (CHF) and economic uncertainty caused by President Donald Trump’s trade war.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
The return to zero comes as tariffs threaten to deflate nations with trade surplus, such as Switzerland and China.
The latest rate cut is bank’s sixth straight move since it started reducing borrowing costs in March 2024.
The SNB’s return to zero may be a sign of things to come across Europe and other advanced nations. A broad based return to zero interest rate policy (ZIRP) may bode well for bitcoin.
Omkar Godbole
Omkar Godbole is a Co-Managing Editor and analyst on CoinDesk's Markets team. He has been covering crypto options and futures, as well as macro and cross-asset activity, since 2019, leveraging his prior experience in directional and non-directional derivative strategies at brokerage firms. His extensive background also encompasses the FX markets, having served as a fundamental analyst at currency and commodities desks for Mumbai-based brokerages and FXStreet. Omkar holds small amounts of bitcoin, ether, BitTorrent, tron and dot.
Omkar holds a Master's degree in Finance and a Chartered Market Technician (CMT) designation.
More For You
Zora Surges 50% as Perps Listings and Base Ecosystem Flows Drive Breakout
The rally was likely driven by a large purchase in anticipation of future volatility, despite no immediate news catalyst.
What to know:
- Zora surged nearly 50% in the last 24 hours, pushing its market cap to $450 million.
- The rally was likely driven by a large purchase in anticipation of future volatility, despite no immediate news catalyst.
- Trading volume increased significantly as major exchanges introduced ZORA perpetual contracts, enhancing market liquidity.
Top Stories
