EUR/CHF: 1.05 seems quite conservative - ING

Sandeep Kanihama FXStreet Contributor

Chris Turner, global head of strategy at ING, suggests that if the conviction levels of ECB easing grow this summer, we should expect EUR/CHF to stay pressured.

Key Quotes

“While the SNB’s nominal trade-weighted CHF index is on its highs, the inflation-adjusted ‘real’ index is not.”

“This latter measure of the CHF is some 5% off the highs seen in summer 2015 (largely due to low inflation in Switzerland relative to trading partners) and a retest of that 2015 high would equate to EUR/CHF hitting the 1.05 area. That seems quite a conservative target for EUR/CHF this summer.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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