While the SNB clearly favours using FX interventions to weaken the franc at present, persistent concerns about the size of its balance sheet would make it reticent to step in on an ever-greater scale. With no easy choices, we think that, if push came to shove, the Bank could tolerate a stronger franc.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.