Swiss Foreign Currency Reserves Fall 2 Percent in June

The Swiss National Bank’s foreign-currency reserves fell in June, as the franc strengthened against both the euro and the dollar.

Holdings decreased to 434.9 billion francs ($453.6 billion), from a revised 444.1 billion francs May, the Zurich-based Swiss National Bank said on its website today.

The holdings, calculated according to International Monetary Fund standards at the beginning of every month, hit an all-time peak in May.

In June the reserves had been expected to fall to 436 billion francs, according to the median forecast of 3 economists in a Bloomberg News survey.

The SNB, which committed to defending a ceiling of 1.20 per euro in September 2011, has amassed foreign-currency reserves equal to about three-quarters of Switzerland’s annual economic output as a result of its efforts to defend the limit.

via Businessweek

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