Snapshot: The Swiss Franc is holding near two-month lows after the Swiss National Bank left its policy rate unchanged at 0.00% at its 09:30 CET meeting. Chairman Schlegel reinforced the bank’s active easing bias by adjusting policy language to highlight direct readiness for FX interventions to combat unwanted Franc strength. Trading desks are now pivoting to the NY open, waiting for the 08:30 ET US jobless claims and Philly Fed prints to dictate near-term direction.
- The SNB’s heightened verbal intervention warning near the 0.8900 level acts as a soft floor for USD/CHF, backed by the central bank’s explicitly stated readiness to sell Francs to prevent disinflationary overshoots.
- A soft print from today’s 08:30 ET US jobless claims risks driving USD/CHF downside, testing the SNB’s intervention resolve if safe-haven flows accelerate alongside a rising VIX, which sits at 18.44.
Bias into NY: We lean bullish USD/CHF toward 0.8980 into the New York session; the SNB’s active easing stance heavily disincentivizes chasing Franc strength, even if US yields face temporary pressure from soft morning data.