Economists at Commerzbank analyze the Swiss National Bank’s (SNB) strategy and its implications for the Franc (CHF).

SNB is likely to be able to maintain its intervention strategy, but not forever

Short to medium term the SNB is likely to be able to maintain its intervention strategy, but not forever. 

Its strategy will only work out under the condition that inflation pressure will ease on its own over the coming months or quarters. That is the most likely scenario, but it is far from certain. For that reason, there are CHF risks, even though the SNB is doing everything it can to give those a good time who are holding CHF-long positions.