Swiss Official Says Switzerland is Not Manipulating its Currency

Switzerland is not manipulating its currency, Jorg Gasser, the country’s state secretary for international financial matters, told CNBC’s “Street Signs” on Tuesday.

That followed Switzerland being named last week as one of six countries on the “monitoring list” in the U.S. Treasury’s semi-annual currency report on potential foreign-exchange manipulators.



Switzerland met two of the three criteria to be named a manipulator, both in the most recent report and the previous one in October: It runs a material current account surplus and it engages in persistent, one-sided intervention in foreign exchange markets.

It did not meet the third criterion of running a bilateral trade surplus with the U.S. of at least $20 billion.

The U.S. Treasury estimated that Switzerland’s central bank purchased a net $66 billion of foreign exchange in euros in 2016, with $20 billion purchased in June after the U.K. referendum to exit the eurozone.

Gasser noted that Switzerland had discussed the matter with the previous U.S. administration for “quite some years.”

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza