SNB Keeps Franc Sales Going Despite Weakening Currency

The Swiss National Bank (SNB) continued to sell francs in the second quarter of this year, following through on its 'increased willingness' to intervene against a stronger currency.

In April through June, the SNB purchased foreign exchange worth $1.7 billion from, which is down from the 3.9 billion francs it bought in the first three months of the year.

This suggests officials were forced to offset continued haven flows into Switzerland triggered by the Iran war in the period.

SNB President Martin Schlegel stated that the SNB had 'unrestricted room to maneuver on rates and interventions' in April, but later softened the message slightly, adding that they have increased willingness to intervene 'if necessary'. They also acknowledged looser monetary conditions after the franc had fallen from March levels.