Switzerland’s economy expanded more than economists expected in the third quarter, with exports helping it perform better than neighboring Germany.
Swiss National Bank President Thomas Jordan is about to explain why he’s keeping the ceiling on the franc even if the crisis that justified it has receded.
Swiss National Bank Governing Board member Fritz Zurbruegg said managing the central bank’s foreign- currency reserves of 424.4 billion francs ($448 billion) is a “major challenge.”
The Swiss franc weakened to its lowest in more than three weeks against the euro amid signs of the euro area’s economy is gaining strength.
Switzerland’s economy probably kept growing in the first quarter as domestic demand and the central bank’s currency cap kept at bay the recession afflicting many of its neighbors.
The Swiss central bank today may keep borrowing costs on hold as the franc’s surge prevents policy makers from raising rates to fight inflation threats.
The Swiss franc is overvalued by 11 percent in June, a sign the Swiss National Bank will stick with its current policy even as euro-area tensions abate.
Swiss National Bank President Thomas Jordan says his best investment is the first drink he ever bought his wife.
Swiss stocks fell for a second day, paring three weeks of gains in the benchmark index, as Cie. Financiere Richemont SA slumped the most in more than four months and the franc gained against the euro.
The Swiss central bank will probably raise borrowing costs on Sept. 16 to counter the threat of rising wages and surging property prices, UBS AG said.
"With the SNB's monetary policy framework likely untouched for some time to come and in light of encouraging economic signs out of the euro zone there is after all the chance for a slightly more hawkish stance by the ECB."
- Reto Huenerwadel on Sep 05, 2013