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The Swiss franc flirted with fresh highs against the euro on Monday as investors poured more money into the safe-haven currency ahead of eurozone bond sales. The franc has hit a series of records against the euro in recent weeks as investors have worried about the euro's prospects and attention is now turning to the upcoming bond auctions, which will show whether Portugal, Spain and Italy can refinance their debt piles at sustainable cost.
The franc was trading at 1.2437 against the euro compared, up from 1.2493 at the New York close on Friday. It was also slightly higher against the dollar at 0.9641 per dollar. The Swissie rose around 16 percent against the euro last year, giving Swiss exporters a headache and prompting warnings from business leaders such as Swatch Group head Nick Hayek and Lonza chief executive Stefan Borgas.

Copyright Reuters, 2011

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