SNB out with an email. Bloomberg reporting 27 July
- end of CHF-LIBOR will not affect monetary conditions
The SNB has been targeting 3-mth swiss franc libor since 2000 but will discontinue that link to its $350trln of financial products in 2021 as UK regulators and others seek to replace the scandal-associated indicator.
Following manipulation allegations and arrests the SNB joined international efforts to reform reference rates. There has also been a Swiss working group looking at the two rates for the local ccy market, SARON and TOIS the latter of which will be discontinued at the end of this year.
Meanwhile USDCHF continues its journey higher at 0.9613 as EURUSD falls through 1.1700 to post 1.1689 so far but EURCHF is retreating to 1.1233 after finally failing at 1.1250 where I did highlight some further sell interest earlier.
SNB needing to look at LIBOR alternatives
