CHF: Designation Of Switzerland As a 'Currency Manipulator' Unlikely To Alter CHF Bullish Trend - MUFG

CHF: Designation Of Switzerland As a ‘Currency Manipulator’ Unlikely To Alter CHF Bullish Trend – MUFG

The US Treasury labeled Switzerland a “currency manipulator” on Wednesday. How will this affect the Swiss franc?

MUFG Research discusses its reaction to the US Treasury’s latest designation of Switzerland as a “Currency Manipulator.”

“The US Treasury released their semi-annual foreign exchange report yesterday. The decision to label Switzerland and Vietnam as currency manipulators for the first time has drawn the most attention amongst market participants,” MUFG notes.

“The SNB has responded quickly by sending a strong signal to market participants that it remains “willing to intervene more strongly” in the foreign exchange market to maintain price stability…Overall, the developments are unlikely to alter the bullish trend currently in place for the Swiss franc. We are not expecting a faster pace of Swiss franc appreciation going forward. We maintain our short USD/CHF trade idea,” MUFG adds.

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Kenny Fisher

Kenny Fisher - Senior Writer A native of Toronto, Canada, Kenneth worked for seven years in the marketing and trading departments at Bendix, a foreign exchange company in Toronto. Kenneth is also a lawyer, and has extensive experience as an editor and writer. Kenny's Google Profile

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