The SNB policy pivot has changed up the FX landscape and the franc is arguably the hot pick (at least mine) in the major currencies space at the moment. The market was caught off guard by the Swiss central bank and now we are having to price in potentially more rate hikes and also the fact that policymakers now no longer see the franc as being „highly valued“.
What a time to be alive.
EUR/CHF is down another 0.8% on the day to 1.0114 and USD/CHF down 0.5% to 0.9620 at the moment. Meanwhile, CHF/JPY is on a runaway train as it now nears 140.00 on the day.
- Parity beckons for EUR/CHF
- It’s looking line sunny skies for CHF/JPY
This article was written by Justin Low at www.forexlive.com.