- It is not useful for central banks to lock themselves into forward-looking communication
- Between now and the next decision, there may be changes in conditions that render current communication to be invalid
- SNB had made “absolutely no commitment” to its next course of action
- Everything will depend on conditions when we assess the situation in December
- Expects franc to structurally appreciate over time amid inflation differentials i.e. low Swiss inflation
- In real terms, franc appreciation has been more limited
This article was written by Justin Low at www.forexlive.com.
