Swiss Franc: Safe-haven appeal strengthens – Commerzbank

Commerzbank’s Michael Pfister argues that rising global bond yields and mounting government debt concerns are increasingly supporting the Swiss Franc over the Euro. He notes Switzerland’s debt brake and relatively sound public finances as key advantages.

Franc benefits from global debt worries

"We had repeatedly emphasised that as the year drew to a close, the high deficits were likely to come back into focus, with the Swiss franc set to benefit."

"Admittedly, there could well be periods of stabilisation in the coming weeks, which might put the franc under pressure again."

"We therefore remain confident in our view that the franc has probably reached its low point in recent weeks and will not depreciate further in the near future."