Wednesday saw Goldman Sachs note that....>

EURO-SWISS: Wednesday saw Goldman Sachs note that "recent events in Europe have

put substantial appreciation pressure on the Swiss Franc. But, with the currency

already significantly overvalued and the policy rate deeply negative,

policymakers have concentrated their efforts on mitigating FX appreciation.

Through a combination of approaches, we estimate that there are only two

comparable periods of FX policy action by the Swiss National Bank

(SNB)-mid-2012, when it defended the minimum EUR/CHF rate at the height of Euro

area tensions, and early-2015 just before removing the floor. Historically, this

level of activity has not lasted for very long. The SNB has said it tends to

guard against sharp, temporary market pressures, but has been wary of more

persistent intervention. While more benign scenarios are certainly possible, we

think there are asymmetric risks towards more CHF appreciation. The Franc is

trading persistently weaker than fundamentals, and these pressures on the

currency look unlikely to abate anytime soon. We continue to recommend that

investors go short EUR/CHF, targeting 1.02 in 3 months."