SNB Preview: A rate cut would further undermine the outlook for the CHF – Rabobank

Market news

20 March 2024

SNB Preview: A rate cut would further undermine the outlook for the CHF – Rabobank

Last year, the Swiss Franc (CHF) was the best performing G10 currency. Its fortunes have turned this year. Economists at Rabobank analyze CHF outlook ahead of the SNB meeting on Thursday.

SNB would welcome a softer CHF

A rate cut this week would further undermine the outlook for the CHF, particularly given the ‘higher for longer theme’ associated with the Fed.

In view of the decades of disinflationary/deflationary pressures suffered by Switzerland and an overvalued exchange rate, we expect that the SNB would welcome a softer CHF.

Swiss Franc on the ropes ahead of SNB meeting

BoE: The required caution on monetary easing will continue to support the Pound Sterling – MUFG

Market Focus

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer

Open Demo Account & Personal Page

Personal area

support@teletradepartners.com

Risk Warning: Trading in the financial markets (including trading on margin) provides a wide range of opportunities and enables investors ready to take risks to make high profits, but it carries a potentially high level of risk of loss. Therefore, prior to trading you should take into careful consideration whether such operations are suitable for you in terms of your level of knowledge and financial situation.