Swiss Franc Joins Euro in Decline

The Swiss franc sank today as Governing Board Member Fritz Zurbruegg said that the Swiss National Bank will take any steps required to keep the ceiling on the currency in place. The Swissie declined together with euro.

Zurbruegg said in a speech yesterday:

The SNB will continue to enforce the minimum exchange rate with the utmost determination. To this end, it is prepared to purchase foreign exchange in unlimited quantities and to take further measures immediately if required.

The franc was moving in tandem with the euro since the SNB has introduced the cap back in 2011. The shared 18-nation currency also fell today after European Central Bank President Mario Draghi said that the ECB would expand asset purchases in case the inflation outlook deteriorates.

USD/CHF jumped from 0.9582 to 0.9677 as of 11:59 GMT today. EUR/CHF was up from 1.2017 to 1.2022 though it retreated from the daily high of 1.2032.

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