SNB's Maechler: We still see inflation staying below 1%

Swiss National Bank governing board member Andrea Maechler said on Monday that they see an uptick in inflation but expect it to return to the situation of price stability, as reported by Reuters.

Additional takeaways

"We still see inflation staying below 1%."

"The labour utilisation in Switzerland is below what it can be and franc continues to be highly valued which dampens inflation."

"Expansionary monetary policy is absolutely needed."

"The negative rate of minus -0.75% and interventions are needed to relieve pressure on the franc as needed."

Market reaction

The USD/CHF pair edged slightly higher following these remarks and was last seen gaining 0.15% on the day at 0.9188.