(Bloomberg) -- The Swiss National Bank is prepared to intervene in currency markets if the outcome of the US presidential election leads to an appreciation of the franc, its president said.
Asked about the SNB’s reaction to a potential victory of Donald Trump on Nov. 5, Martin Schlegel acknowledged the currency’s haven-status.
“Typically, if there’s uncertainty in the world, if there are crises, then a demand for francs ensues and the franc tends to appreciate,” he said at a press conference in Bern on Wednesday. “We have said at the last interest-rate decision that we stand ready to be active on foreign-exchange markets if needed.”
Schlegel added that the central bank can act on currency markets “at any time” from its headquarters in Switzerland and its branch in Singapore. The SNB had opened the Asian side-office in 2013 to enable operations around the clock.
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