Swiss National Bank Vice President Antoine Martin said the central bank expects Swiss inflation to pick up over the next few quarters and sees no immediate risk of deflation, even as new trade tariffs cloud the outlook. Recent movements in the Swiss franc are being driven more by a weaker U.S. dollar than by domestic strength, he told the Swiss financial daily L’Agefi. Martin reiterated that the SNB does not manipulate the currency but stands ready to intervene in the foreign-exchange market to safeguard price stability. While past experience shows negative interest rates can work, he stressed that the bar for returning to sub-zero policy rates is now higher than for trimming rates that are above zero because of the additional strains negative rates impose on banks, investors and households. The vice president said the central bank’s large balance sheet necessitates substantial euro and dollar holdings to maintain diversification, and confirmed that Bitcoin fails to meet the SNB’s asset-eligibility criteria. He also ruled out any need to alter the institution’s gold reserves. Martin added that discussions with the federal government are under way to assess the economic impact of recently imposed tariffs, and he underscored the importance of central-bank independence amid international debate on the issue. He further noted that UBS’s integration of Credit Suisse is progressing smoothly and should not disrupt financial stability.