SNB to reiterate its commitment to intervene in FX markets – Barclays

The Barclays Research Team is out with its take on what to expect from the Swiss National Bank (SNB) quarterly monetary policy assessment due to be announced later today at 0830 GMT.

Key Quotes:

“In Switzerland, we expect the SNB (Thursday) to keep its policy rate unchanged at -0.75% (consensus: -0.75%) 

And the target range for 3m Libor at -1.25/-0.25%. 

We expect it to reiterate its commitment to intervene in FX markets to curb unwanted appreciation, but its language regarding the currency's overvaluation is likely to be broadly unchanged, given that the CHF is trading roughly at the same levels it was in September in trade-weighted terms. 

Our bias remains for a range-bound EURCHF, with downside risks.”