Following the Swiss National Bank's (SNB) decision to raise the policy rate by 50 basis points to 1%, Chairman Thomas Jordan said that they are ready to be active in forex markets.

Additional takeaways

"Not specific on a terminal rate for interest rates."

"Longer end of the inflation forecast is slightly going upwards, indicates current monetary policy doesn't guarantee price stability is ensured."

"Interest rate is our key instrument."

"We are taking exchange rate vs all currencies into account."

"Forex intervention is a secondary tool."

"We have no target for forex sales."

Market reaction

USD/CHF edged slightly lower from the daily highs following these comments and was last seen trading at 0.9285, where it was still up 0.45% on the day.