SNB shows willingness to intervene in FX market as needed

The SNB left its expansionary monetary policy unchanged at its policy meeting today.

Following are main headlines from the policy statement:

Inflation to rise to 2.1% in Q3 2020.

Sees 2017 inflation at 0.5%.

Sees 2018 inflation at 0.7%.

Sees 2019 inflation at 1.1%.

Swiss franc overvaluation has continued to decrease, yet the franc remains highly valued.

Remains active in the currency market.

CHF fall reflects that safe havens are less sought after.

Willingness to intervene in FX market as needed.

Expects GDP growth of 2% in 2018.

Recovery in Swiss economy looks set to continue.