The Swiss National Bank guaranteed to precede all necessary steps to keep the minimum exchange rate in the limit of CHF 1.2 versus the Euro. The Zurich-based central bank is maintaining the target range for the three-month Libor unchanged at 0.0-0.25%. The SNB forecasts an inflation rate to decline 0.2% and foresees growth of 1-1.5% for Switzerland in 2013.
"The inflation path is being shifted down, but overall the picture stays the same," said Alexander Koch, an economist at UniCredit "Since the cap was set in 2011, their stance has been relatively unchanged. They have made clear that the ceiling is not for fine-tuning, and I expect the SNB's stance to continue."