Economists at MUFG Bank still believe there is scope for EUR/CHF to keep moving higher in the near-term as they remain optimistic that a diplomatic solution will be found for a de-escalation of the Russia-Ukraine conflict.

Higher eurozone yields to help reverse downward pressure on EUR/CHF 

“If we are about to revert to a period of focusing more on macro then rising yields in the eurozone and elsewhere should see EUR/CHF continue to grind higher.”

“If we got to a scenario of actual progress in dialogue with Russia then a more pronounced EUR/CHF move higher would be likely.”