EUR/CHF is a cent higher in early-week trading, at 1.0492.
The gains come after a report cited by Tages Anzeiger (translated):
The Swiss National Bank SNB was operating with a sort of unofficial minimum euro exchange rate …
There was talk of a “corridor” of CHF 1.05 to 1.10. This goal will not be communicated to the outside, the National Bank‘ll cost a lot: losses of up to 10 billion Swiss francs should be taken into account, says a well-informed source.
Look out for more volatility as liquidity comes into the market.
EUR/CHF hourly
Mike has been writing about a rumored 1.05-1.10 SNB target.
“Swissy pairs had another early rally as SNB reported to be “smoothing” still in preparation for a 1.05-1.10 range on EURCHF but , as has been the pattern this week, we saw a rapid drop to from 1.0525 to 1.0420 only to find fresh demand.”
