The Swiss Franc is holding steady against the majority of its most traded peers including the Pound and Euro as investors remain concerned over the ongoing debt ceiling and budget saga in the world’s largest economy.
Demand for the safe-haven Franc was mixed as some investors increased their bets that a deal over the debt ceiling will happen before the October 17th deadline passes. Others meanwhile are choosing safe havens in case no deal is agreed and the US defaults on its debts.
Weighing upon sentiment was the news that Fitch ratings agency said that it has placed the USA’s triple-A credit rating on negative standing as no sign of a deal emerges. The agency said that the two-week long impasse in negotiations between the Republicans and Democrats is undermining confidence in the US economy.
A deal is looking more likely after the Republican party came under pressure from voters who blame the party more than President Obama for the ongoing stalemate.
Obama said Republicans now know they went too far after seeing the reaction from voters.
“I’m pretty sure they’re not going to run this play again,” Obama said yesterday in an interview with WABC television in New York.
In Switzerland, the latest ZEW economic expectations Index climbed to 24.9 in September, up from the 16.3 recorded in August. The figure beat economist expectations of an increase to 21.0.
Against the Pound the Franc softened slightly following the release of better-than expected jobs data out of the UK. He number of people in work in the country hit a record high and the number of people claiming unemployment benefit fell to its lowest level since 1997.
Current Swiss Franc (CHF) Exchange Rates
Swiss Franc/ Euro Exchange Rate is currently in the region of: 0.8105
Swiss Franc/US Dollar Exchange Rate is currently in the region of: 1.1097
Swiss Franc/ Pound Sterling Exchange Rate is currently in the region of: 0.6839
Swiss Franc/ Australian Dollar Exchange Rate is currently in the region of: 1.1505
(Correct as of 14:30 pm GMT)
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