Swiss franc regains ground

25 Sep, 2009

The Swiss franc pushed up against the dollar in early Thursday trading after the greenback bounced off lows Wednesday, bolstered by a spike in risk aversion which sparked a late US equities market sell off. The franc was up 0.2 percent against the dollar compared to the New York close, trading at 1.0264 francs per dollar. It was largely unmoved against the euro at 1.5129 per euro.
"For the franc-euro trade, the situation has changed little in last couple of weeks, the SNB is protecting downside on euro Swiss and preventing a stronger franc, while demand out of Eastern Europe is supporting the swissie," Karpowitz said. "The trade has moved sidewards over a couple of weeks, 1.51 is the level where the market expects at least verbal intervention from the SNB, and we dont expect to see the franc go much higher than that in the near term."

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