Sterling strengthens against CHF

Sterling strengthens against CHF

GBP/CHF – Sterling has been anchored of late due to the lack of clarity surrounding Brexit. Secretary of State for Trade, Liam Fox recently said that he believes there is a 60% chance of a “no deal” scenario.

The Irish border has been a point of contention for some time along with customs union access.

We have seen Sterling rally against the Swiss Franc yesterday following news that Brexit Chief negotiator Michel Barnier stated “We are prepared to offer Britain a partnership unlike with any other country.”

There is still a long way to go in terms of getting a deal in place, but this is definitely positive and a step in the right direction. If you are holding Swiss Franc and buying Sterling and have been hanging on for further gains, it may now be time to consider performing your trade.

There is the strong possibility that the deadline for a Brexit deal, currently set for October could be extended. There has been rumours of November being the new deadline, but it could well run into December. Be wary of hoping for a sudden spike in Sterling on the October deadline and keep this in mind when planning your trading strategy.

There is little in the way of data releases of consequence from either side so I would not expect too much movement caused by the minor releases. For more information on the upcoming factors likely to impact Sterling/ Swiss Franc exchange rates feel free to get in touch using dcj@currencies.co.uk.