Swiss franc shows resilience despite tariff threats, UBS sets new GBP/CHF target

Swiss franc shows resilience despite tariff threats, UBS sets new GBP/CHF target

Source: EODHD - https://www.investing.com/news/forex-news/swiss-franc-shows-resilience-despite-tariff-threats-ubs-sets-new-gbpchf-target-93CH-4203717
Published: Aug 21, 2025 4:46 AM

Investing.com - The Swiss franc demonstrated resilience despite recent tariff announcements, with the GBP/CHF pair now trading away from recent lows and settling in the middle of UBS’s expected range. UBS has established a new target of 1.07 for the GBP/CHF currency pair in its September 2026 forecasts, emphasizing the growing importance of carry trade dynamics in this currency relationship. The Swiss franc’s reaction to the announcement of 39% tariffs on Switzerland was notably muted, according to UBS analysis. This subdued response suggests market participants remain confident that negotiators will eventually reach a tariff agreement. The British pound maintains a carry advantage against t...

Market context: This update is relevant to USD traders, with USDCHF as the primary instrument to monitor for follow-through, trend continuation, or headline volatility.