Signs of Economic Growth Make Traders Part with Franc
The Swiss franc declined today, further moving away from the cap of 1.20 francs per euro, set by Swiss National Bank. Demand for the currency as a safe haven was limited among signs of economic growth in the United States.
Yesterday’s data spurred risk appetite on the Forex market, trimming demand for safe currencies. Traders remained optimistic today as they expect more positive reports, including non-farm payrolls, which rose 161,000 according to analysts’ estimates. The franc was trading near the SNB ceiling (essentially moving in tandem with the euro) for several months last year, but moved away a little from it in September and completely lost its correlation with the euro at the beginning of this year.
USD/CHF rose from 0.9407 to 0.9444, trading near the highest level since November, and EUR/CHF advanced from 1.2278 to 1.2305 as of 10:46 GMT today.
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Earlier News About the Swiss Franc:
- Franc Mixed as Swiss Economy Expands (2013-02-28)
- Franc Rises Despite Wishes of Swiss Policy Makers (2013-02-12)
- Swiss Franc Rises Even as Politicians Say It Should Be Weakened (2013-01-28)
- Franc Drops as Demand for Safety Wanes (2013-01-17)
- Swiss Franc Drops vs. Euro as CPI Declines (2013-01-11)