The Swiss franc gained ground against the dollar in early Friday trading amid concerns over high oil prices that could prompt interest rates to rise faster than expected and thus endanger a global economic recovery.
The dollar last changed hands at 1.2797/02 francs, compared with levels around 1.2900 late on Thursday. The Swiss currency had touched an eight-day high during Monday's session as fears grew over security following attacks in Iraq.
The euro was trading virtually unchanged at 1.5354/64 francs.
Markets will be watching a meeting of G7 finance ministers in New York this weekend for any comments on the recent surge in oil prices and the future direction of global interest rates.