ZURICH: The Swiss franc ticked down against the dollar on Thursday in tandem with a weaker euro ahead of a meeting of the European Central Bank later in the day. The franc has largely tracked the single currency since the Swiss National Bank set a 1.20 per euro cap in September 2011 to stave off a recession and deflation.
The franc fell 0.1 percent against the dollar to trade at 0.9257 by 0714 GMT compared to the New York close as the euro slipped against the greenback. The franc was steady against the euro at 1.2088. The ECB is expected to keep interest rates on hold at its first policy meeting of the year, but some market players think the bank may cut them some time in coming months and that the bank's chief, Mario Draghi, may drop hints of that in his news conference at 1330 GMT.
"A rate cut was apparently discussed in depth at the last meeting, however this is unlikely to materialise yet, with Germany still concerned about the inflationary impact of such a move," said Alpari analyst Craig Erlam.
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