The Swiss National Bank (SNB) on Tuesday reported a loss of 7.3 billion Swiss francs ($ 7.8 billion) for the first half of the year, citing a drop in the value of its gold reserves.
The central bank had made a profit of 6.7 billion francs in the same period last year.
It said it devalued its 1,040 tons of gold by 13.2 billion francs.
Currency trading helped somewhat to offset this loss. Profits from the bank’s foreign currency positions amounted to 5.8 billion francs.
Gold had dropped from nearly $ 1,600 per ounce in April to below $ 1,200 in early July, as investors sold off the precious metal in expectation of tightening US monetary policy.
Central banks adjust the value of their gold stocks to market prices from time to time, which can lead to high profits or losses.