Oddbean

Switzerland leads big central banks in rate cuts as US Fed lags ========== Switzerland's central bank, the Swiss National Bank, has lowered borrowing costs again to 1.25%, surprising some analysts. Sweden's Riksbank is expected to hold borrowing costs steady at 3.75% in its next rate decision. The Bank of Canada has already cut rates by 25 bps to 4.75% and is expected to make two more cuts this year. The European Central Bank (ECB) recently cut rates for the first time in five years to 3.75% but is not expected to cut rates again soon. The Bank of England left rates unchanged at 5.25% but money markets expect almost 50 bps of cuts by year-end. The US Federal Reserve held rates steady at 5.25% to 5.5% but traders expect around 45 bps of cuts for 2024. The Reserve Bank of New Zealand may cut rates in October, while the Reserve Bank of Australia is not expected to lower borrowing costs until well into 2025. Norway's central bank held rates at 4.5% and expects borrowing costs to stay there until 2024. The Bank of Japan raised rates out of negative territory in March and may raise rates again in July if economic data allows. #Switzerland #CentralBanks #RateCuts #UsFederalReserve #SwissNationalBank #Riksbank #BankOfCanada #EuropeanCentralBank #BankOfEngland #UsFederalReserve #ReserveBankOfNewZealand #ReserveBankOfAustralia #Norway'sCentralBank #BankOfJapan https://www.investing.com/news/economy-news/switzerland-leads-big-central-banks-in-rate-cuts-as-us-fed-lags-3490577