The Swiss National Bank on Thursday cut its key interest rate by 50 basis points, exceeding expectations of a smaller trim amid an ongoing tussle with depressed inflation and a strong Swiss franc. More than 85% of economists polled by Reuters had forecast the bank would implement a 25-basis-point cut.

The U.S. dollar was broadly steady on Thursday while the euro traded a touch higher before the European Central Bank's monetary policy decision later in the day, where a quarter-point rate cut is widely expected.

Switzerland’s central bank cut its key interest rate for a fourth straight meeting, making an bigger-than-expected cut of 0.5 percentage point, as it seeks to rein in the strengthening franc and p

The Swiss franc tumbled after the central bank delivered a larger-than-expected interest-rate cut, a move that analysts say should stem the currency’s appreciation in the coming months.

The Swiss National Bank reduced its interest rate by 50 basis points to counter economic concerns and stabilize the Swiss franc. This decision, the most significant cut in nearly a decade, was influenced by weak inflation and marks the SNB's first major move under Chairman Martin Schlegel.

The Swiss National Bank cut the rate to 0.5% from 1%, matching the half-point move announced by Canada’s central bank. Most investors expect the European Central Bank to announce a quarter-point cut later Thursday.

The U.S. dollar was broadly steady on Thursday while the euro traded a touch higher before the European Central Bank's monetary policy decision later in the day, where a quarter-point rate cut is widely expected.