EUR/CHF this week fell to its lowest level since Nov 2020, extending a downtrend that has been in place since late September. Concerns about slowing growth in the eurozone have led economists at Rabobank to downgrade their EUR/CHF one and three-month forecast to 1.07.
Fears that the eurozone economy is losing momentum provide more scope for flows back to the safe haven CHF
“In view of the slowdown in eurozone growth we have revised down our one-month and three-month EUR/CHF forecasts to 1.07.”
“On the assumption that the eurozone recovery remains in place, we expect a move back to 1.10 on a six-month view.”
“The November 2020 low around EUR/CHF 1.0660 will likely provide some support for the currency pair.”
