The Swiss Franc today soared against the Euro to see the EURCHF cross pair drop to a record low of 1.1945, as it dipped below a previously seen resistance level of 1.2000. The recent resurface of the debt concerns in the Euro, brought on by the increasing unrest in Greece, has seen market participants seek comfort in the safe haven appeal of the Swiss Franc.
The drop of the Euro against the CHF signifies a drop of over 1% on the day, a drop that is believed to have been accelerated as stop loss orders may have been initiated below the 1.1970 levels. The pair is currently trading around the 1.2010 levels, some 50+ pips above the recent all time low.
The Swiss interest rates today came out unchanged as a stronger Franc would imply greater risks to the economy through the country’s exporter margins.