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26 Apr 2013
Jordan: SNB set to continue enforcing EUR/CHF cap with utmost determination
FXstreet.com (Barcelona) - SNB chairman Thomas Jordan delivered a speech at the central bank's annual General Meeting of Shareholders in Bern on Friday, during which he stressed that the Swiss franc was still overvalued and that it could still come under renewed upward pressure, posing a threat to the Swiss economy.
Therefore, the SNB head assured that the central bank was prepared to “continue to enforce the minimum exchange rate with the utmost determination and, if required, to buy foreign currency in unlimited quantities for this purpose.”
According to Jordan, downside risks for the Swiss economy continued to be substantial, in the face of the uncertain global economic situation and the developments in the EU crisis.
Additionally, Jordan said that the central bank did not see a threat of inflation or deflation in the foreseeable future.
Therefore, the SNB head assured that the central bank was prepared to “continue to enforce the minimum exchange rate with the utmost determination and, if required, to buy foreign currency in unlimited quantities for this purpose.”
According to Jordan, downside risks for the Swiss economy continued to be substantial, in the face of the uncertain global economic situation and the developments in the EU crisis.
Additionally, Jordan said that the central bank did not see a threat of inflation or deflation in the foreseeable future.