SNB risks friction with US due to FX policy

Switzerland could face being labelled a currency manipulator as the Trump administration takes aim

"The SNB letting EUR/CHF fall toward parity to avoid friction with the US may be the lesser evil" – Deutsche

The Swiss National Bank (SNB) could come under pressure to discontinue its unconventional policy of market intervention to avoid friction with the new US administration and prevent Switzerland being labelled a currency manipulator, strategists say.

Switzerland was added to the US Department of the Treasury's monitoring list of major trading partners in October 2016, because of its material current account surplus and for "having engaged in persistent, one-sided intervention in foreign exchange m