The Swiss franc pulled back toward 0.80 per USD, hitting its lowest level since early September, pressured by a strengthening dollar after strong US GDP data raised doubts about imminent rate cuts by the Federal Reserve. Domestically, the Swiss National Bank left its policy rate unchanged at 0%, in line with expectations, pausing after six consecutive reductions that started in March 2024. Policymakers highlighted that inflationary pressures remain subdued, even as US 39% tariffs raise concerns about slowing growth. The majority of economists believe the SNB has reached the end of its easing cycle, meaning that it will keep its rate at zero at least until the end of next year. Reflecting this, the SNB Chairman continued to signal reluctance to reintroduce negative interest rates. Limiting the franc’s losses was its safe-haven appeal amid global economic uncertainty, driven by trade tensions, geopolitical risks, and fiscal challenges.