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You are invited to listen to a Livestreamed MNI Connect Video Conference with ECB Executive Board Member, Piero Cipollone.

Details below:

• TOPIC OF DISCUSSION: The ECB's balance sheet and its implications for monetary policy
• DATE: Tuesday 18 February
• TIME: 14:00 - 15:30 London time
• This event will be run as a Zoom Webinar and is a public, on-the-record event.

To register please go to: MNI Webcast Registration

• SNB President is overall sticking to common themes in his interview at the sidelines of the World Economic Forum today. The following headlines have crossed from an interview with Bloomberg TV in Davos:
  • SNB Doesn't Like Negative Rates But Can Use Them
  • We're Not Uncomfortable On Inflation Right Now
  • SNB Is Ready To Intervene In Fx Market If Needed
  • SNB Isn't Discussing New Franc Cap At The Moment
• The comment on negative interest rates compares to Schlegel's Dec 12 statement in the aftermath of the last policy meeting of "SNB Doesn't Like Negative Rates But They Do Work". Also, note that while the SNB has surprised in the past on changes in their FX intervention policy, their FX holdings data indeed points towards comparatively little movement here in recent months and in real, trade-weighted terms, CHF has depreciated recently and remains well below its highs.
• The Swiss Franc saw little movement on the headlines and remains a touch stronger on Wednesday, underpinned by strong domestic equity performance and CH government bonds underperforming against their EGB peers.
• USDCHF has extended its pullback from cycle highs to ~1.7%, with weakness extending on a break of the 20-day EMA earlier this week. Spot remains well above firm support at 0.8972, the 50-day EMA.