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The SNB has managed to avoid EUR/CHF breaching 1.05, though it has traded at lows since the end of Q1, per CIBC Capital Markets. 

Dont’s miss: Diminished risks of a breach of 1.05

Key quotes

“Should EUR/CHF become pressured towards the 1.05 threshold, expect this to amplify concerns of potential SNB action. The Bank could take rates down to -1.00%, irrespective of actions by the ECB.” 

“While the SNB acts to contain potential safe-haven flows, it will surely hope that events in the eurozone, within the context of potential future fiscal transfers, could limit SNB buying. That should allow EUR/CHF to gradually grind back towards the 200-day MAV at 1.08.”

“Q3 20: 1.08 | Q1 21: 1.09”