SNB Chairman Schlegel says that they could have negative inflation this year, which is not a problem in the short term, however geopolitical tension remains a risk

• Adds that the CHF has been stable over the last few months.

SNB Chairman Schlegel's comments on potential negative inflation indicate a more dovish outlook for Swiss monetary policy, signaling that the SNB is not currently worried about deflationary pressures. However, by highlighting geopolitical tensions as a risk, he emphasizes that external factors could still impact the Swiss economy, which could influence future policy decisions. The stability of the CHF suggests that the current risk of negative inflation is being managed adequately in the short term, which may play a role in shaping investor sentiment and expectations in fixed income markets.