June 20, 2024 at 09:21AM
There has been appreciation in the Swiss franc
That has an impact on monetary conditions
Exchange rate plays a very important role as it influences inflation outlook
Will adjust policy rate to ensure inflation stays in the range of price stability
The fact that he continues to allude to the franc having appreciated should be a signal that they’ll be backing off, after having been suspected of intervening in recent weeks. The key takeaway from all of this is the change in the narrative from Jordan. In May, he said that “a weaker franc is the main source of inflation”. Today, there isn’t any mention resembling that whatsoever. Instead, it has been the opposite.
This article was written by Justin Low at www.forexlive.com.