Central Banks


Swiss National Bank just out with the IMF-based reserve report 31 Jan

  • Q4 EUR holdings 40% vs 40% Q3
  • GBP 7% as prev
  • JPY 8% as prev

Q4 FX reserves stood at CHF 743.9bln so you can do the maths.

More interesting to note though the reval rates used:

  • USDCHF 0.9869 vs 0.9919 prev
  • 3-mth USDCHF 0.9794 vs 0.9850 prev
  • 6-mth USDCHF 0.9723 vs 0.9784
  • EURCHF 1.1690 vs 1.1643 prev
  • TWI 107.5 vs 107.9 prev

With current USDCHF rate of 0.9312 the data highlights the point I’ve been making recently in that Jordan & Co, who generally use USDCHF to create CHF weakness find themselves long and wrong with EURCHF lower too at 1.1588 from recent highs and reval. Q1 profits in danger of being severely reduced.

Little surprise then that the SNB are still keen to intervene. Just saying.

Full report from the SNB here

             Jordan –  still has reasons not to be so cheerful



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