They’ve gone all QE on us, but with a bit more impact than their friends in Japan. They nearly doubled the amount sight deposits to CHF 200 bln and bought borrowed francs in the forward market while lending euros (of which they are massively long…) to increase liquidity further.
Results have been mixed, as the market was hoping for a peg at levels above the market, but has been slightly disappointed. The additional liquidity is not nothing, however, so keep your chin-straps buckled. 0.8000 will be a key level to break in USD/CHF…
