CHF remains particularly weak against all.....>

SWISS: CHF remains particularly weak against all others in G10 including the

JPY, with CHF hitting multi-month lows against many of the majors. USD/CHF

continues to rally having broken above 1.01 last week to hit 1.0201, the highest

level since early January 2017. The contrasting performance between the JPY and

CHF so far this week follows touted exporter demand for JPY and market

positioning ahead of the extended closure of Japanese markets next week, with

Golden Week holidays expected to trim trading activity in JPY across Asia-Pac

hours. EUR/CHF has also broken higher in recent sessions, prompting bulls to

target the 1.15 level (hasn't traded above since early August).

-Market positioning continues to stack against the CHF also, with USD/CHF risk

reversals curve shifting higher in recent sessions in favour of USD/CHF calls.

The market moves also follow a slightly under-the-radar shift in communication

from SNB members who have shifted tone to emphasise the policy room that the

central bank still have with which to combat deflation and a strong currency.