SNB Eases Intervention Bias, EUR/CHF Sees Bullish Bounce

The Swiss National Bank (SNB) has slightly softened its tone on intervening in foreign exchange markets, allowing the Swiss Franc to appreciate further. The bank left interest rates unchanged at 0.0% and signaled that it is willing to be active as necessary.

This shift in language follows a decision by the SNB to drop the alert level on intervention. As a result, the EUR/CHF exchange rate has rebounded by about 0.3%, with some analysts interpreting this move as a bullish signal for the pair.

The bank's inflation forecasts remain relatively low, at around 0.7-0.8% through 2028, and a widening rate differential versus the Eurozone is expected over the next three months.