Somebody asked if they will raise the cap...Mr Jordan said he cannot answer this question now, but in the economical view the swiss franc is still overvalued...and he said they will continue policy of cap absolutly
Nothing new...
When asked about the possibility if peg raise, Mr Jordan said, it was not the time and place to discuss it, the franc is overvalued, 1.2 is necessary, he expects the franc to depreciate with the time...
he obviously avoided saying if peg modification is being considered..
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Joined Feb 2012
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Status: "May the odds be ever against you"
|457 Posts
He sounds more defensive than attacking missing leader qualities...
so he will die defending or attack one day ?
Swiss Nat'l Bank President Jordan: #SNB Defence Of Minimum Rate Absolute Priority; Swiss Franc Still Overvalued [Dow Joens]
Demand for Swiss assets is so strong that investors accepted negative yields at an auction of six-month government bills last week as Spain’s borrowing costs rose toward levels that prompted bailouts for Greece, Ireland and Portugal.
It took a long time (from a day trader's perspective) for USD/JPY to finally move up, but it did. The most important things with this pair are:
Peg and +swap
I was thinking (considering that most likely EUR/CHF will be at 1.25 level within 6 months and that I bought it right above the Peg (1.2020), if I use same amount of money that I currently use to hold long ($300,000 position), for day trade I would really have to get lucky (or smart) to make the same profit comparing to just waiting with very little risk of losing (if Peg breaks)
