Is it the SNB or flows out of Switzerland
EURCHF daily
The mystery bid in EUR/CHF continues today. It's the sixth consecutive day of gains for the pair and props it up to the highest since mid-March.
The euro has been solid over that period but it's hard to find a fundamental underpinning for the pair unless you look towards the SNB. The central bank could be buying EUR/CHF as it fights off recession and disinflation.
The problem with that theory is that moves have been slow, rather than the quick, powerful interventions of the past. Sight deposit data today also showed a 1.1 billion franc increase. That's some intervention but not enough to push the pair meaningfully higher.
Another possibility is Greek money making its way out of Switzerland or other safe-haven flows trickling out.
