SNB Must Be in Market ‘Right Now’ to Weaken Franc, Junius Says

The Swiss National Bank is very likely intervening in FX markets to curb franc strength, according to Karsten Junius, chief economist at Bank J Safra Sarasin. Expect this to cap further CHF appreciation, influence FX liquidity and volatility near term, and signal SNB preference for direct intervention over immediate policy-rate moves.

Analysis

The Swiss National Bank is very likely intervening in FX markets to curb franc strength, according to Karsten Junius, chief economist at Bank J Safra Sarasin. Expect this to cap further CHF appreciation, influence FX liquidity and volatility near term, and signal SNB preference for direct intervention over immediate policy-rate moves.