ZURICH Oct 12 The Swiss National Bank is
convinced its twin pillars of negative interest rates and
foreign currency interventions are the right tools to curb the
value of Swiss franc, Vice Chairman Fritz Zurbruegg said on
Despite a slight reduction in the value of the currency, "you
still have a significant overvaluation of the franc," Zurbruegg
said at a Bloomberg event in Zurich.
He said he was "convinced" about the value of the measures,
despite negative effects like reducing the profitability of
Negative rates were now a global and long-term phenomenon and
low rates could create financial stability issues, he said,
adding the SNB would monitor the situation.
(Reporting by John Revill; Editing by Michael Shields)