⚡Crypto Alert : Altcoins are up 28% in just last month! Unlock gains and start trading now - Click Here

The SNB will remain accomodative for quite some time

SNB Chairman Promises to Keep Monetary Policy Unchanged

Posted Thursday, December 12, 2019 by
Skerdian Meta • 1 min read

Swiss National Bank chief, Thomas Jordan, was holding a press conference after the SNB held its monthly meeting. They decided to keep interest rates unchanged at -0.75% and keep the monetary policy unchanged, as long as economic conditions remain unchanged. Below are some of his main comments:

  • Swiss inflation would turn negative if we tightened monetary policy
  • Swiss economic conditions speak for a continuation of current monetary policy
  • Interest rate differential remains a very important factor for exchange rates
  • That is why we have to take international conditions into account
  • Negative rates will remain as long as necessary
  • We have no interest to keep negative rates if they are not necessary
  • We will change policy stance if inflation outlook changes

Well, if he’s referring to core inflation then yes it is not in negative territory. But the headline annual inflation certainly is. In any case, the inflation outlook for next year doesn’t look like it will get any better so they are basically pushed to the limit right now. There wasn’t much action in the CHF pairs after those comments.

 

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Related Articles
Comments
0 0 votes
Article Rating
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments