The Swiss Franc’s Policy Whiplash

Markets have a habit of turning yesterday’s policy tailwind into today’s migraine. Switzerland is learning that lesson again: the very currency strength that muted imported inflation in 2022-23 is now shoving headline CPI toward zero just as Washington’s tariff drumbeat grows louder. What follows is a look at how the franc’s latest surge is boxing the SNB into a corner—and why the usual exits are narrower than they look.

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