LONDON/ZURICH (Reuters) -The Swiss National Bank cut its main interest rate by 25 basis points to 1.50% on Thursday, a surprise move that made it the first major central bank to dial back tighter monetary policy aimed at tackling inflation.
The franc dropped after the decision, pushing the euro to its highest against the Swiss currency since mid-July last year, while Swiss government bond yields fell.
MARKET REACTION:
STOCKS: Zurich’s SMI index rose 0.9% on the day, outperforming Europe’s STOXX 600 benchmark index.
FOREX: The Swiss franc weakened broadly, pushing up the euro by as much as 1%…