Swiss central bank holds key interest rate

GENEVA, Sept 18 (AFP): Switzerland's central bank held its key interest rate steady on Thursday and restated its pledge to hold down the value of the Swiss franc, but warned the economic outlook had "deteriorated considerably".
The Swiss National Bank (SNB) maintained its target range for the franc's three-month London interbank offered rate, known as the Libor rate, at between 0.0 and 0.25 per cent.
The bank also reiterated its longstanding commitment to maintain an exchange-rate floor of 1.20 Swiss francs to the euro.
But despite the floor and the historically low Libor, SNB warned that "the economic outlook has deteriorated considerably."
Analysts with Capital Economics said the bank's decision "to leave policy on hold comes as a slight disappointment," adding though that given the difficult economic climate "the Bank may well intervene in currency markets or cut its deposit rate before long."