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The Swiss franc fell to near two-year lows against the euro early on Thursday, after an influential think tank signalled on Wednesday that economic growth may begin to level off in the second half of the year.
Switzerland's leading KOF indicator rose to its highest level since June 2000 in March but came in at the bottom end of forecasts.
"The current barometer trend signals a gradual weakening of GDP growth around the middle of this year," the think tank said, leading the franc to ease to a two-year low.
UBS said that the KOF was slightly lower than expected but overall still strong.
The euro continued to rise on Thursday, climbing to 1.5751/54 francs, up from 1.5738/43 francs late in the previous session. The currency had reached a two-year high of 1.5757 francs on Wednesday.
The dollar stood at 1.3042/44 Swiss francs from the 1.3015/20 francs level late on Wednesday.

Copyright Reuters, 2006

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