Explains EURCHF and USDCHF rallies
- LIBOR range lowered to -0.75%/+0.25%
- reaffirms EURCHF cap at 1.2000. will enforce with utmost determination
- ready to take further measures if needed
- prepared to buy unlimited currency to shield cap
More from the SNB here
The Swiss National Bank (SNB) is imposing an interest rate of –0.25% on sight deposit account balances at the SNB, with the aim of taking the three-month Libor into negative territory. It is thus expanding the target range for the three-month Libor to –0.75% to 0.25% and extending it to its usual width of 1 percentage point. Negative interest will be levied on balances exceeding a given exemption threshold
USDCHF 0.9806 EURCHF 1.2072
