The Swiss Franc (CHF) exchange rate weakened against the
Pound Sterling (GBP), Euro (EUR) and US Dollar (USD) on Monday as
manufacturing output in the Alpine nation contracted and on speculation
that the Swiss National Bank (SNB) has intervened in the currency
market.
On Sunday, a Swiss newspaper reported that the SNB is unofficially aiming for an exchange rate of around 1.05-1.10 Francs per Euro. The SNB declined to comment on the rumours.
A report released early on Monday showed that bank deposits with the SNB increased last week, adding to the speculation that the central bank has been busy in the currency market.
‘It is chatter that there is an informal band and the sight deposits data suggests that the SNB is there in the market. The SNB is trying to smoothe the flows and the volatility. Also we are seeing that our clients are staying away from this currency because of all of the volatility that we have seen,’ said an FX strategist from Credit Agricole.
Read more Click here / www.trade4x.net
The Pound to Swiss Franc (GBP/CHF) exchange rate hit a session high of 1.407
Following the SNB’s shock move of ditching the Swiss Franc’s cap against the Euro the currency has experienced volatility as it seeks a position to stabilise at.On Sunday, a Swiss newspaper reported that the SNB is unofficially aiming for an exchange rate of around 1.05-1.10 Francs per Euro. The SNB declined to comment on the rumours.
A report released early on Monday showed that bank deposits with the SNB increased last week, adding to the speculation that the central bank has been busy in the currency market.
‘It is chatter that there is an informal band and the sight deposits data suggests that the SNB is there in the market. The SNB is trying to smoothe the flows and the volatility. Also we are seeing that our clients are staying away from this currency because of all of the volatility that we have seen,’ said an FX strategist from Credit Agricole.
Read more Click here / www.trade4x.net
No comments:
Post a Comment