Having seen the Swiss franc climb close to a two-year high this week following the flare-up in tensions between the US and Iran, the SNB will surely consider intervening soon – particularly if these geopolitical tensions persist. Nonetheless, with the ECB set to loosen policy later this year, we do not think that policymakers will prevent the franc from strengthening further in H2. Meanwhile, we think that Iceland’s central bank will leave interest rates on hold at its policy meeting meet week.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services