EUR/CHF to move back towards 1.07 by year-end – Rabobank
|The SNB will remain very sensitive about the relative position of the CHF and, therefore, economists at Rabobank expect the Swiss National Bank to intervene using QE. The EUR/CHF pair is set to trade at 1.07 by end-2020.
Key quotes
“Our expectation is that risk appetite could decline into Q4 suggests scope for the safe-haven CHF to appreciate and for continued intervention by the SNB in the FX market.”
“Looking ahead, we see scope for some of the optimism that buoyed the EUR this summer to fade amid fears about a second wave of COVID-19 in European and given concerns about a delay to the EU’s recovery fund.”
“Irrespective of the threat of further SNB FX intervention, we see the potential for a drop in risk appetite suggests scope for EUR/CHF to edge lower to 1.07 by the end of the year.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.