Search ForexCrunch

According to Analysts at Danske Bank, the Swiss Franc is expected to depreciate towards the 1.22 area vs. the shared currency in a 12-month horizon.

Key Quotes

“The SNB kept its dovish tone at the June meeting and maintained that the franc is ‘highly valued’ and kept the option of FX intervention open”.

“While the SNB has clearly been challenged (again) by the ECB’s hesitant stance, the SNB should also have cemented its eagerness to see CHF weaker before making a shift on policy”.

“With EUR strength set to return eventually, this makes us comfortable about maintaining a case for CHF depreciation in 6-12M but continued trade tensions is a downside EUR/CHF risk. We still look for 1.16 in 1M, 1.16 in 3M, 1.19 in 6M and 1.22 in 12M”.