While various geopolitical factors have the potential to spark CHF buying, the Swissie can be particularly sensitive to headwinds in the Eurozone. Economic stagnation, budget constraints and strike action in Germany combined with calls for structural reforms in Europe’s largest economy could limit scope for appreciation in EUR/CHF medium term. 

We see scope for further dips to the 0.9300 area on a 1-to-3-month view failing a more dovish stance from the SNB.