24 Apr It is time for the SNB to pull the handbrake
When central banks intervene in the currency market, by making it known in the media, it is almost always to buy their national currency on the foreign exchange market, and prevent it from rapid and violent falls. Regarding the Swiss National Bank (SNB), since the beginning of this century at least, it intervenes always on the contrary, by selling Swiss francs, making it known or not, to slow the rise in its parity to other currencies. Apart from the abrupt, irresponsible and unforgivable abandonment of the fixed parity vis-à-vis the EURO at 1.20 in 2015, which has caused an uncontrollable rise in the franc of around 30% in a few days, the policy of the SNB is generally applauded.
