SNB may need to ease monetary policy even further: chairman

“In July and August, the Swiss franc hit its highest level against the euro in two years” writes Midwest Communications Inc for Investors traditionally buy the Swiss franc as a safe haven, but the resulting increase in value against other currencies makes life hard for Swiss businesses.VIENNA (Reuters) – The Swiss National Bank (SNB) may need to take its interest rates further into negative territory, its chairman Thomas Jordan said in an interview with the weekly NZZ am Sonntag. “It is a mixture of monetary and fiscal policy, which is playing with fire.”. With negative interest rates and increased foreign currency investments, the central bank tries to dampen demand for the franc and prevent the currency from becoming too strong.

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