SNB Chairman Schlegel: Monetary policy continues to have an expansionary effect. Geopolitical uncertainty remains, risks of strong upward pressure on the CHF remains. "If necessary, we therefore have an increased willingness to intervene..." in FX.

FX

• "Upward pressure on the Swiss franc initially increased with the escalation of the conflict in the Middle East, as the franc was sought after as a safe haven. We therefore increased our willingness to intervene in the foreign exchange market at the beginning of March. Interest rates in the major currency areas have since risen, in part because markets expect monetary policy tightening there due to the higher inflation. As the interest rate differentials with other countries have widened, the Swiss franc has depreciated somewhat. However, the geopolitical situation remains uncertain. The risk of strong upward pressure thus persists. If necessary, we therefore have an increased willingness to intervene in the foreign exchange market."

Publication Change

• FSR will be published two weeks later than the monetary policy communication, so the next one is the 2nd of July.