SNB’s Zurbrügg: negative rates having ‘desired effect’
Rates are influencing the money and capital markets as intended
Negative rates are "working" in Switzerland, according to Swiss National Bank (SNB) governing board member Fritz Zurbrügg, who surveyed the post-peg landscape in a speech last week.
When the SNB discontinued its exchange rate commitment on January 15, it also cut its interest rate on sight deposits to -0.75% and its target range for the three-month Libor to between -0.25% and -1.25%.
"We can see that the measure is working and having the desired effect on the money and capital markets," Zurbrügg
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