
Switzerland Faces Trade War Fallout as US Tariffs Threaten Key Export Sectors
Switzerland’s economy is under significant pressure due to the imposition of US tariffs on Swiss exports. As such, we have revised down our GDP growth forecasts

Switzerland’s economy is under significant pressure due to the imposition of US tariffs on Swiss exports. As such, we have revised down our GDP growth forecasts

The announcement of the reciprocal tariff plan comes against a backdrop of worsening economic data which has been the key factor behind the change in financial market reaction to tariff news from US dollar supportive to dollar negative.

President Trump’s so-called “Liberation Day” has arrived and an announcement is scheduled for the Rosa Garden at 4pm Washington time when all will be revealed in terms of the tariff actions against the US’s trading partners.

The UK published on Friday data showing a net public sector surplus of £15.4bn in January, which fell short of the £20bn estimated by the Office for Budget Responsibility in October alongside the Budget.

Germany voted over the weekend, and the results are broadly in line with expectations. The euro got a small boost from the CDU/CSU being able to form a coalition only with the SPD, without any smaller third party. There’s a lot on the table for markets this week, and we expect plenty of noise in FX.


