Recent worries of debt problems in Portugal and unrest in Libya saw the Swiss Franc rally against the Euro today as investors looked to the safe haven currency at such times of political unrest. The EURCHF pair dropped throughout the earlier sessions from an Asian session open of 1.2865 to a late European session low of 1.2738 before consolidating in the US session and coming back up to trade around the 1.2816 levels.
Panic in Portugal was created today when current Prime Minister Jose Socrates threatened to resign should the opposition failed to approve certain austerity measures which were being voted upon today. Investors took comfort in the Swiss Franc as they so often do so in times of such uncertainty, a move which saw the EURCHF pair drop by some 120+ pips.
Against the US Dollar the Swiss Franc traded rather steadily in early sessions around the 0.9030 levels. The USDCHF pair did experience a sudden surge a little after 12:00GMT where the currency pair was seen rising by some 90 pips and steady off around the 0.9083 levels for the remainder of the day’s session.