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Swiss franc faces near term pressure as SNB rate path eyed

Commerzbank said fresh US tariffs on Switzerland, combined with weak Swiss exports, are weighing on the Swiss franc while markets reassess the SNB’s rate outlook.

Reported · Written up by our desk · Central Banks

Commerzbank said reported plans for the Swiss National Bank to keep rates unchanged until early 2028, if accurate, would conflict with market expectations for hikes extending into 2027. In the bank’s view, that mismatch is leaving the Swiss franc under pressure in the near term.

FXStreet reported that the pressure is being compounded by fresh US tariffs on Switzerland at a time when Swiss exports are still described as weak. The combination of tariff headwinds and a less hawkish-than-expected SNB timeline delays prospects for a meaningful franc recovery, according to Commerzbank’s Michael Pfister.

The note comes as traders appear cautious ahead of the two-day US Federal Reserve meeting, a backdrop that can support the US dollar as a safe haven. FXStreet also said USD demand has been weighing on EUR/USD and that GBP/USD remained defensive below 1.3300, reflecting a risk cautious tone across major pairs.

Latest closeEUR/USD 1.137 ▼0.0%|GBP/USD 1.329 ▼0.2%

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