Swiss central bank enacts biggest-ever hike to key rate

GENEVA (AP) — Switzerland’s central bank has carried out the biggest hike ever to its key interest rate in an effort to clamp down on inflation. It is following the U.S. Federal Reserve and other central banks around the world in aggressive moves to clamp down on inflation. The Swiss National Bank said in a statement Thursday that it could not rule out further increases beyond the increase of three-quarters of a percentage point rise “to ensure price stability over the medium term.” The move raised the rate from minus 0.25% to 0.5%, ending several years of negative interest rates in Switzerland. That was a testament to the stable growth, low-inflation environment, coupled with Switzerland’s appeal as a safe haven for assets.