The CHF to SGD exchange rate has recently experienced fluctuations, now hovering around 1.6105, approximately 0.5% below its three-month average of 1.6198. This stability comes after trading within a modest 2.3% range of 1.6044 to 1.6405, suggesting a consolidating effect amid broader market conditions.
Recent developments impacting the Swiss franc (CHF) include a significant reduction in tariffs on Swiss goods by the U.S., dropping from 39% to 15%. This change is expected to boost the Swiss economy, potentially enhancing the CHF's appeal as analysts anticipate annual savings of approximately $6 billion for Switzerland. Despite this favorable trade news, the Swiss National Bank (SNB) is expected to maintain its policy rate at 0% amidst a notable inflation decrease to 0%. Economists argue that the current inflation rates do not warrant a reevaluation towards negative interest rates, which may limit the upside potential of the CHF.
In contrast, UBS has recently adjusted its forecasts for the CHF downward, revising EUR/CHF projections to 0.93 for September and 0.94 through June 2026. This change reflects broader global uncertainties and the Swiss franc's status as a defensive currency amid market volatility. The SNB is also faced with substantial financial losses, including CHF 15.3 billion due to foreign currency positions, further complicating its financial management strategies.
On the Singapore dollar (SGD) front, the Monetary Authority of Singapore (MAS) took a cautious approach by easing monetary policy in January to support growth in light of lower-than-expected core inflation. Following a strong 2.9% expansion in the third quarter of 2025, the MAS opted to maintain its existing monetary policy, indicating a resolve against external risks affecting the SGD. Recent tariffs and trade tensions with the U.S. have placed downward pressure on the currency, leading analysts to predict continued volatility.
In summary, as the CHF encounters both favorable external factors and internal challenges, and the SGD grapples with economic and trade pressures, the outlook for the CHF to SGD exchange rate remains cautiously optimistic, with analysts closely monitoring both currencies for signals that may influence future movements.
