The Swiss franc traded around 0.80 per USD, its lowest level since September 4, amid a slightly stronger dollar despite the ongoing US government shutdown and expectations of rate cuts by the Federal Reserve. Nevertheless, safe-haven demand for the franc remained elevated amid France’s political crisis and global uncertainties. Domestically, rising inflation expectations reduce the likelihood of the SNB moving into negative interest rates. Last week, SNB Chairman Martin Schlegel signaled confidence that inflation may pick up in the coming quarters. Earlier, he had warned that negative borrowing rates could harm pensioners and financial institutions. September’s CPI rose 0.2%, marking the fourth consecutive month of growth but below the 0.3% forecast; month-on-month, prices fell 0.2%, slightly faster than August’s 0.1% decline.