* Dollar/Swiss and euro/Swiss firm * Traders cite talk of SNB intervening in FX forwards * Euro slips vs dollar as Europe shares fall (Updates prices) By Anirban Nag LONDON, Aug 18 (Reuters) - The Swiss franc fell against the euro and the dollar on Thursday, with traders citing talk the Swiss National Bank was intervening in the forwards market as part of efforts to curb the surging currency. The dollar rose against commodity-linked currencies like the Australian dollar while the yen was supported as European stocks fell and money market strains drove investors to the relative safety of the U.S. and Japanese currencies. The dollar gained 0.8 percent to 0.7966 francs while the euro rose 0.4 percent to 1.1440 francs , having earlier climbed to 1.1515. "They (the SNB) have been in the FX swap market," said Chris Walker, currency strategist at UBS. "But we think the euro/Swiss franc will still fall back towards parity." The franc soared to record highs against the dollar and the euro earlier this month in a rush towards perceived safe havens sparked by euro zone sovereign debt worries and concerns about a global slowdown. In a fresh attempt to tame the franc's runaway rise, the SNB said on Wednesday it would boost liquidity by expanding sight deposits to 200 billion francs from 120 billion, and said it would take additional steps if needed. The SNB on Thursday declined to comment on the latest talk that it was intervening in the forwards market. Forward market intervention involves selling Swiss francs in short-dated maturities to flood the market with francs, then buying them back or rolling them over at a later date. Traders said by undertaking franc-selling operations in the forwards instead of in the spot market, the SNB was seeking to drive the return on holding francs even lower, making it less attractive to potential investors. Swiss money market rates moved deeper into negative territory. The December 2011 Euroswiss contract traded at 100.51, implying a three-month Swiss franc Libor rate of -0.51 percent in December. <0#FES:> The contract has risen from around 100.04 at the start of the week, implying the SNB's action was working for the moment.

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