Economics
SNB Isn’t Panicking About the Franc And Here’s a Reason Why
- Swiss central bank hasn’t been aggressively intervening
- Alternative measure of euro-franc price isn’t as elevated
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The Swiss National Bank appears to be content for now to allow the franc to drift higher, with little evidence that it’s getting into a dogfight with markets.
While reluctance to aggressively sell the franc may be partly driven by fear of being labeled a currency manipulator by the U.S., SNB data also suggest the valuation may not be so extreme as it appears.