The Franc has risen to a six-week high against the Euro due to the fallout from the Italian election result boosting the demand for safe haven currencies. The inconclusive outcome has raised speculation that Italy will have to take a second vote.
“The Swiss franc is the obvious ‘victim’ to the risk- aversion trade,” said Peter Rosenstreich, chief foreign- exchange strategist at Swissquote Bank SA in Geneva. “The Italian story is the only story that is driving markets right now. The franc is the risk-off trade.”
It is the fifth day in a row that the Franc has made gains against the Euro and comes after centre-left candidate and pre-election favourite Pier Luigi Bersani managed to win the lower house by less than half a percentage point. Silvio Berlusconi however managed to win a blocking minority in the Senate.
As a safe-haven currency we can expect the Franc to continue to strengthen as long as there is uncertainty in the Eurozone. Depending on how the European Central Bank and the European Union as a whole reacts we could see the Franc strengthen further.
Current Swiss Franc Exchange Rates
Rates correct as of 10:10 am
The Swiss Franc to Pound exchange rate is currently trading at 0.7086
The Swiss Franc to Euro exchange rate is currently trading at 0.8222
The Swiss Franc to US Dollar exchange rate is currently trading at 1.0745
The Swiss Franc to Canadian Dollar exchange rate is currently trading at 1.1019
The Swiss Franc to Australian Dollar exchange rate is currently trading at 1.0472
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