SNB Chair Schlegel: Unlimited FX Intervention Room to Cap Franc Strength

SNB Chairman Martin Schlegel affirmed unrestricted capacity for FX interventions and policy rate moves to prevent excessive Swiss franc appreciation amid Middle East uncertainty. This escalates from April 23 signals by VPs Martin Schlegel and Antoine Martin on intervention readiness at USD/CHF 0.85 and EUR/CHF 0.94 triggers, following franc weakening since the Iran conflict. Markets price 64% odds of a December rate hike, but SNB vows support USD/CHF while UBS faces billions in capital hikes.