CHF/JPY Interest Rate Differential

The current policy-rate gap between Swiss Franc and Japanese Yen, and which side of CHF/JPY earns the carry. Updated daily · as of June 18, 2026.

CHFJPY differential
-1.00 pp
CHF
0.00%
Swiss Franc
JPY
1.00%
Japanese Yen

Japanese Yen carries the higher policy rate, so going short CHF/JPY earns positive carry (swap); the opposite side pays it.

This is the current gap. The market trades the expected differential, which can move CHF/JPY before any rate change lands.

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CHF/JPY carry — frequently asked

What is the CHF/JPY interest rate differential?

The CHF/JPY interest rate differential is currently -1.00 pp — the Swiss Franc policy rate (0.00%) minus the Japanese Yen policy rate (1.00%). Japanese Yen carries the higher rate, so it tends to attract demand.

Does long CHF/JPY earn or pay swap (carry)?

Going short CHF/JPY earns positive carry, paid as the daily swap (rollover), because that side holds the higher-yielding currency (Japanese Yen). The opposite side pays the swap. Carry is simply the interest-rate differential turned into a daily cash flow.

Why does the expected CHF/JPY differential matter more than today's?

Markets price the future, not the present. CHF/JPY can move on a widening or narrowing expected differential before any actual rate change, as new data and central-bank guidance shift the expected paths of the Swiss Franc and Japanese Yen central banks. Today's gap is largely already priced in.

Does the higher-yielding side of CHF/JPY always go up?

No. The rate differential is gravity, not a guarantee. It dominates in calm, risk-on conditions, but in a risk-off shock capital rushes to safe havens regardless of yield, and crowded carry positions can unwind violently.