Swiss National Bank expects for the great losses due to currency exchange fluctuations

Swiss National Bank is upset by currency fluctuations

In brief: Swiss National Bank expects losses from exchange rate difference in the amount of 14 billion francs.

Swiss National Bank predicts that losses from exchange rate differences in the first half of this year amount to 14 billion Swiss francs ($ 13.3 billion). However analysts expect that the loss of the bank in the second quarter could reach 5.5 billion francs, compared with a net profit of 1.5 billion francs quarter earlier.

At the same time, the single European currency managed to stabilize above support near Chf1.3500 and now holds about Chf1.3561, trying to recover from a wave of liquidation of long positions that followed a series of unsuccessful attempts to break above Chf1.3675. Restoring constrain Ofer near Chf1.3570/80, but dealers are paying attention to the fact that the euro / franc now enjoys greater favor the bulls on the decline, and believe that the couple may try to return to recent highs. Such opinions, however, adhere to and analysts Barlcays Capital, who noted that in the coming days, the euro may well continue to rise and to Chf1.3835. However, the bank continues to negatively evaluate the longer-term prospects for couples, and reported that they would use to search for growth opportunities for the resumption of sales, given the continuing potential for re-testing record lows just below Chf1.31.

Anrey Torbinski
2010-07-21 15:22, Economics.

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