The Swiss Franc, which was put under pressure by the SNB Chair’s comments earlier in the week, saw itself under pressure from the remarks of the European Central Bank (ECB) Chair this Thursday at the press conference following the rate statement. The Swiss franc weakened against the greenback after Christine […]
On this page, you will read about everything you need to know about the Swiss National Bank (SNB) including its latest monetary policy decisions and market-moving speeches.
The Swiss National Bank is the central bank of Switzerland and is responsible for the country’s monetary policy. The Swiss National Bank obliged to act in accordance with the interests of the country. Its goal is to ensure price stability while taking due account of economic developments. It is also responsible for the creation of an appropriate environment for economic growth.
The National Bank was founded on 20 June 1907 and has two head offices one in Berne and one in Zurich, as well as a branch office in Singapore.
Swiss National Bank’s monetary policy
The Swiss National Bank sets the SNB policy rate. The SNB seeks to keep the short-term Swiss franc money rates close to the SNB policy rate. The SNB can intervene in the foreign exchange market in order to influence the monetary conditions. The SNB’s monetary policy consists of three elements:
- the SNB equates the price stability with an increase in consumer prices of less than 2% per annum. The Swiss National Bank equates price stability with an increase in consumer prices of less than 2% per annum
- a medium-term conditional inflation forecast,
- and a target range for a reference interest rate
The Swiss National Bank conducts in-depth monetary policy assessment four times a year. In March, June, September, and December. The results of the evaluations are an interest rate decision and the outlook of medium-term inflation. The Swiss National Bank (SNB) sets out the reasons for its decisions in a press release and in a quarterly monetary policy report published in the Quarterly Bulletin.
Who Heads the Swiss National Bank?
The SNB’s executive body is the Governing Board. The Governing Board is responsible for the monetary policy, and the asset management strategy, contributing to the stability of the financial system and international monetary cooperation. The Chairman of the Governing Board is Thomas Jordan.
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According to the latest CFTC Positioning Report, speculators have reduced their net short positions on the US Dollar. Net shorts on the greenback for the week ended September 29 fell from $33.60 billionto $30.47 billion. This positioning change by USD speculators is reflecting in the USDCHF pair, which is starting […]
The US Dollar continued its rebound over the Swiss Franc as the Swiss National Bank kept to its expansive rate policy intact. The SNB via its Chief Thomas Jordan said Switzerland’s economic downturn due to the coronavirus pandemic is not as bad as once feared. Jordan reiterated the maintenance of […]
The USDCHF continues to trade higher on Monday as commentary by key officials of the Swiss National Bank put the Swiss Franc on offer Friday. The bearish sentiment on the Swissy has carried on into the new week, with the greenback gaining 31 pips on a day US markets were […]
The SNB Chair is talking about interventions on the Swiss Franc. Sign up to find out more about what he said and the implications for the USDCHF.
The GBPCHF cross pair used to be one of the most volatile currency pairs of the FX dashboard. When the Swiss National Bank (SNB) dropped the EURCHF exchange rate floor in January 2015, everyone fretted about the huge gap seen on the EURCHF charts. However, the “star” of the day […]
USDCHF gains as SNB’s Thomas Jordan opens the door for possible cuts in interest rates in the future.