Swiss National Bank buys foreign currency in March in Switzerland; CHF 2–2.5bn
Swiss National Bank buys foreign currency in March in Switzerland; CHF 2–2.5bn Swiss franc and British pound: How currency markets defied Middle East crisis fears | Julius Baer Swiss franc: Words followed by action In early March, escalating tensions in the Middle East triggered strong upwards pressure on the Swiss franc, which is globally considered as a safe haven. In response, the SNB explicitly signalled a greater willingness to intervene in the FX market to prevent a rapid and excessive appreciation – a message reiterated at its March policy meeting. Balance sheet developments suggest that this was more than just verbal intervention. Our estimates suggest that the SNB purchased around CHF2bn–2.5bn of foreign currency in March. This appears moderate compared with past intervention episodes and corresponds to around half the volume the SNB bought in April 2025, when President Trump’s ‘reciprocal’ tariff announcements shook markets and triggered a sharp appreciation pressure on the franc. That said, our estimates only provide a rough gauge and cannot capture the full picture of intra-month interventions. We will receive confirmation from the SNB only at the end of June, when it publishes its quarterly FX transactions for Q1. ...