The currency of Switzerland is not under as much duress these days, which the chief of the central bank of Switzerland correlated with his belief that the sovereign debt scourge tearing through the euro zone is losing momentum, Reuters reports.
Customarily a safe-haven monetary unit for wealth during challenging economic times, the Swiss franc will keep the ceiling rate of 1.20 per euro. Thomas Jordan said during media interviews that the institution he leads will intervene to preserve the strength of the monetary unit, but he did not go into specifics.
"We don't give any information on interventions but if you look at the exchange rate you can see that the pressure is less than it was," the chairman said, according to Reuters.
After its quarterly meeting, the SNB underscored its interest in preserving the ceiling against the euro.
The chief noted a German court's Wednesday ruling that the regional bailout fund is constitutional as well as the European Central Bank's intention to purchase government bonds.
One method of preserving the strength of the franc is by purchasing foreign exchanges in "unlimited quantities," Bloomberg reports the Swiss National Bank said.
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