Pound to Swiss Franc (GBP/CHF) Exchange Rate at Two Year High as Swiss Data Disappoints

The Pound (GBP) advanced to its highest-level since 2012 against the Swiss Franc (CHF) after positive employment data offered support to the UK currency and as downbeat data weighed upon the Franc.

The Swiss currency fell after data released earlier in the session showed that economic sentiment in the Alpine nation dropped to its lowest level since January 2013.

According to the report published by the Centre for European Economic Research (ZEW) its economic sentiment index fell by 4.7 points to make a reading of 0.1 this month, down from the 4.8 figure recorded in the previous month.

Economists had been expecting the index to rise by 0.2 points to 5.0 this month.

Any figure above 0.0 indicates optimism whereas a number below indicates pessimism. The cause for the decline is thought to be as a result of the worsening economic picture in the Eurozone, Switzerland’s biggest trading partner.

After the data was released the Franc also declined against the US Dollar (USD) and eased against the Euro (EUR).

The Pound found support following the release of data which showed that UK unemployment fell to 6.5% its lowest figure since before the Great Recession.

In the three months leading up to May UK employment rose by 254,000 to 30.6 million, the highest level since records began in 1971. From the previous year, employment rose by 929,000, or 3.1%, the biggest yearly increase ever recorded.

Following the release of the data the Pound advanced to a new 22-month high against the Euro, it briefly touched its highest level since September 2012 before easing.

The data increased speculation that the Bank of England will raise interest rates before the end of the year.

Current Swiss Franc (CHF) Exchange Rates

[table width=”100%” colwidth=”50|50|50|50|50″ colalign=”left|left|left|left|left”]
Currency, ,Currency,Rate ,
Swiss Franc,,US Dollar,1.1136 ,
Swiss Franc,,British Pound,0.6501 ,
Swiss Franc,,Euro,0.8222 ,
Pound Sterling,, Swiss Franc,1.5384 ,
Euro,, Swiss Franc,1.2154 ,
US Dollar,, Swiss Franc,0.8977 ,

[/table]