President of the Swiss National Bank (SNB), Thomas Jordan, Governor of the Central Bank of Norway (Norges Bank), Ida Wolden Bache, and Governor of the Bank of England (BoE), Andrew Bailey. AFP / FABRICE COFFRINI / Bloomberg / Andrea Gjestvang / REUTERS / POOL
After the Fed, the big Swiss, British and Norwegian financiers are tightening the cost of credit even further.
“The Swiss banking system is very resilient and robust,” assured the president of the Swiss central bank, Thomas Jordan, Thursday – four days after calling for the rescue UBS, one of the two national banking champions, to save the other, Credit Suisse, in distress. According to the great treasurer, therefore, there would not be fire at the lake. And the Swiss National Bank has decided to raise its key rate by half a point, to 1.5%, despite the upheavals in the banking sector.
After the European Central Bank (ECB) a week ago, the US Federal Reserve (Fed) also did not hesitate to raise its rates by a quarter point on Wednesday, bringing them between 4.75% and 5 %. On Thursday, in addition to Switzerland, Norway followed suit (at 3%, like the ECB), as well as the Bank of England (BoE), raising its key rate to 4.25%, the highest since 2008, after an eleventh consecutive increase.
Inflation before financial stability
The message is clear: inflation is the top priority, financial stability shaken…
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