Preview of the SNB monetary policy meeting on June 18

Yep, that's right, the Federal Reserve is not the only central bank meeting this week, we've also got the "we will never remove the CHF cap, oh wait, we've removed the cap" crowd too.

  • The Swiss National Bank bank meet on June 18 (Thursday this week)
  • The announcement will come at 9.30am local time, which is 0730GMT
  • There will be a press conference accompanying the announcement
  • (Prior to the decision announcement, the bank will release its 2015 Financial Stability Report ... that's at 0430GMT)

What to expect from the announcement?

  • In short - nothing
  • Expect policy to remain unchanged, 3m Libor target of -0.75% & the width of the -1.25% to - 0.25% corridor to stay

What the SNB will be looking at:

  • Swiss economic data has been poor, Q1 GDP showed the Swiss economy contracted by -0.2% in the three months ending in March ... indeed, Switzerland is expected to endure a recession this year, according to KOF (KOF Swiss Economic Institute is an economic "think tank")
  • CPI is more or less in line with previous SNB forecasts
  • Focused on international developments - Greece and its impact on the EUR especially, but also foreign bond yields
  • The SNB view the economic slowdown as transitory and expect a pick up later this year

Stay tuned to ForexLive as we approach the meetings this week (both the FOMC and SNB) for more