The GBP to CHF exchange rate currently shows a bearish bias.
Key drivers include the interest rate differential, as the Bank of England is expected to cut rates amid slowing inflation and growth, while the Swiss National Bank has made recent cuts and may consider further measures if the franc remains strong. Economic growth in the UK is anticipated to decelerate, which could negatively affect the pound.
The near-term trading range for GBP/CHF may remain stable but slightly elevated above recent averages, reflecting potential downward pressures.
Upside risks include any unexpected strengthening of the GBP due to positive economic data or shifts in Bank of England policy. Conversely, downside risks could arise from further deterioration in UK economic conditions or new tariffs impacting trade, particularly following significant U.S. tariffs affecting Swiss exports which could weaken the CHF's position.