long

We remain constructive on CHF and long eurchf. Over time, we think fundamental factors continue to point to further CHF strength. The SNB should persist with its preference for a stronger currency amid strong and more persistent inflation, euro area growth risks are asymmetrically skewed to the downside, and recessionary concerns around the world are rising, with the BoE having just warned of a prolonged recession," MS notes.
"This points to inflows for safe-haven currencies like CHF and, over time, we continue to see EUR/CHF moving lower to 0.95. USD/CHF should continue to be driven more by the broader USD trend," MS adds.