The Swiss franc firmed against the dollar and the euro on Wednesday as lower equity markets prompted investors to move into less risky assets such as the Swissie. "The recovery in the equity markets has stalled and this is positive for the Swiss franc," said Credit Suisse analyst Marcus Hettinger.
The dollar was also coming under pressure due to profit taking after the greenback's recent appreciation, Hettinger said. The franc was up 0.8 percent against the dollar compared to the New York close, trading at 1.1047 per dollar.
Against the euro, the franc was 0.3 percent stronger at 1.5022 per euro, as expectations that the European Central Bank would cut interest rates later this month continued to bolster the franc. "Markets expect the ECB to cut rates further and that is pushing the franc up against the euro as markets are not expecting the Swiss National Bank to lower rates," said RZB analyst Ronald Plasser.