Live Chat

Swiss franc recoups recent losses against US dollar

Swiss franc recovers losses vs. USD, EUR after soft inflation print

The Swiss franc appeared on track to recover recent losses in European trading on Thursday against a basket of major rivals. The franc had veered close to five-week lows against the US dollar on the previous day following a softer-than-expected Swiss inflation data reading.

Weak price pressures are likely to prompt Swiss National Bank (SNB) policymakers to cut interest rates in September for the third time this year.

As of 12:50 GMT, the US dollar eased 0.16% against the Swiss franc to 0.9002. The franc had closed Wednesday up 0.3% against the greenback, marking its first gain in three days and moving away from five-week lows at 0.9050.

The franc largely traded flat at 0.9714 against the euro after hitting a one-month low of 0.9755 earlier, according to FactSet data.

Choose your points of movement

Сalculate your hypothetical P/L (aggregated cost and charges) if you had opened a trade today.

Market

ETFs Search
ETFs
Crypto
Shares
Currency
Bonds
Commodity
Index

Instrument

Search
Clear input
Porsche
Procter & Gamble
Roku Inc
Deere
Quanta Services
UniCredit
Rolls-Royce
Inditex
Deliveroo Holdings
Goldman Sachs
Coca-Cola Co (NYSE)
Infosys
Toro
ChargePoint Holdings Inc
Comcast
Chipotle
Campari
The Cheesecake Factory
Virgin Galactic
LVMH
Eni
Medtronic
ProSiebenSat.1
Qualcomm
BioNTech
SIG
Meta (Formerly Facebook)
Philip Morris
Visa
Schlumberger
SMCI
Plug Power
Nike
ADT
3D Systems
Nikola Corporation
Pinterest Inc
Bristol Myers
Jumia Technologies
Broadcom
Upstart Holdings Inc
Salesforce.com
Amazon.com
Cinemark
Moderna Inc
AMC Entertainment Holdings
Air France-KLM
Glencore plc
Starbucks
Uber
Golar LNG
Pfizer
Palantir Technologies Inc
CrowdStrike Holdings
Mastercard
Blackrock
Vir Biotechnology
Toyota
Kuaishou
MerckCo USA
Cisco Systems
Porsche AG
II-VI
JD.com
Snap
JP Morgan
Lululemon
UPS
AIA
Deutsche Bank
Airbus Group SE
Zoom Video Communications
XPeng Inc
Trade Desk
AbbVie
Sartorius AG
Mondelez
Hammerson
CNOOC
Snowflake
Thermo Fisher
CCB (Asia)
Kraft Heinz
Unilever
China Life
eBay
Linde PLC
GameStop
Infinera
UnitedHealth
ASOS
SAP
Barclays
Christian Dior
Wish.com Inc
AstraZeneca
FirstRand
SONY
CAT
Applied Materials
BlackBerry
ALIBABA HK
British American Tobacco
AT&T
Siemens
Diageo
Palo Alto Networks
Vipshop
Amgen
Prosus N.V.
ASML
Airbnb Inc
Lithium Americas Corp
JnJ
Wal-Mart Stores
Nasdaq
Exxon Mobil
McDonald's
Shopify
Hermes
Iberdrola
Peloton Interactive Inc.
Apple
Volkswagen
Marriott
Sea
Micron
Conoco Phillips
Morgan Stanley
Ford
Upwork Inc.
Nel ASA
Bank of America
Accenture
Santander
Abbott
Trump Media & Technology Group
Royal Bank Canada
UiPath Inc
Spotify
Fedex
LUCID
Anglo American
Allianz
Dave & Buster's
Shell plc (LSE)
Xiaomi
Adidas
Skillz Inc
HDFC Bank
Cellnex
Freeport McMoRan
Wells Fargo
PepsiCo
Berkshire Hathaway
Lockheed Martin
Coinbase Inc
HSBC
Target
Netflix
Vonovia
PayPal
DISNEY
Invesco Mortgage
Blackstone
Boeing Co
Lumentum Holdings
Canopy Growth
Beyond Meat
Block
Qorvo
Delivery Hero SE
Teladoc
Unity Software
PG&E
Microsoft
Gilead
Li Auto
Chevron
Naspers
BP
MercadoLibre.com
Alibaba
New Oriental
CarMax
Lemonade
Citigroup
Two Harbors Investment aration
Taiwan Semi
Total
Bayer
Marston's
Twilio
Home Depot
Oracle
Gen Digital Inc
Baidu
ZIM Integrated Shipping Services Ltd
T-Mobile
Norwegian Cruise Line
ON Semiconductor
American Express
Macy's
Vodafone
L'Oreal
Tesla
Robinhood
Nio
Lloyds
Aptiv PLC
Novavax
Norwegian Air Shuttle
American Airlines
TUI
Annaly Capital
RTX Corp
NVIDIA
Adobe
General Motors
PETROCHINA
Aurora Cannabis Inc
Barrick Gold
Fuelcell
General Electric
Anheuser-Busch Inbev
Continental
Eli Lilly
F5 Networks
Etsy
Hubspot
easyJet
Telecom Italia
Ceconomy
Rio Tinto
AMD
Cameco
Arista
Tencent
British American Tobacco
DeltaAir
Verizon
Airbus
Lufthansa
Teleperformance
GSX Techedu
Rivian Automotive
Wayfair
IBM
Bilibili Inc
HSBC HK
Occidental
Lyft
IAG
Costco
Tilray
Fresnillo
Intel
ROBLOX Corp
BASF
Workday Inc
GoPro
DoorDash
Electrolux
GoHealth
Alphabet (Google)

Account Type

Direction

Quantity

Amount must be equal or higher than

Amount should be less than

Amount should be a multiple of the minimum lots increment

USD Down
$-

Value

$-

Commission

$-

Spread

-

Leverage

-

Conversion Fee

$-

Required Margin

$-

Overnight Swaps

$-
Start Trading

Past performance is not a reliable indicator of future results.

All positions on instruments denominated in a currency that is different from your account currency, will be subject to a conversion fee at the position exit as well.

Rate cut bets add to Swiss franc pessimism, analyst says SNB faced with task of “reflating” prices

Consumer prices increased by 1.3% year-on-year in June, Switzerland’s statistics office reported on Thursday. This figure is below economists' estimates and down from May’s 1.4%, which was the highest rate this year.

The slowdown was aided by a 0.2% annual decrease in the cost of goods, while services saw a 2.4% rise. Core inflation also moderated to 1.1%, contrary to expectations that it would accelerate.

The data all but confirms a third Swiss interest rate cut by the SNB later this year.

The Swiss National Bank now faces increased pressure to cut interest rates after Thursday’s lower-than-expected inflation data, adding to Swiss franc pessimism amid the currency’s recent bouts of weakness, according to Scope Markets analyst Joshua Mahony.

The SNB will be "faced with the task of reflating prices just as their Western counterparts attempt to drive down inflation," Mahony stated in a note cited by the Wall Street Journal on Thursday.

Economists see one more SNB cut this year

The SNB has cut interest rates at its last two meetings, kicking off its monetary easing campaign ahead of global peers like the European Central Bank. With the Swiss benchmark now at 1.25%, economists anticipate one more reduction this year, though it remains uncertain whether it will occur in September or December, as per Bloomberg.

Policymakers have indicated that the third quarter will experience slightly faster inflation, which is expected to slow down and reach 1% by 2026. Without the rate cuts, the forecast would have been even lower, SNB President Thomas Jordan stated this month.

Switzerland boasts one of Europe’s lowest inflation rates. Inflation data from the neighboring Eurozone showed prices rose by an annual 2.5% in June, slightly down from May. Based on the European Union’s harmonized measure, Swiss inflation saw a 1.3% increase last month.


When considering shares, indices, forex (foreign exchange) and commodities for trading and price predictions, remember that trading CFDs involves a significant degree of risk and could result in capital loss.

Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be construed to be investment advice.

Latest news

New Zealand dollar drops on unexpected dovish tone from RBNZ

Wednesday, 10 July 2024

Indices

Unexpected dovish tone from RBNZ drops New Zealand dollar

Sterling steady as investors take in UK, French election results

Tuesday, 9 July 2024

Indices

Sterling steady near one-month high in wake of UK election

BP shares fall on Q2 profit warning

Tuesday, 9 July 2024

Indices

BP shares drop over 4% on Q2 lower profit warning

BP shares dip ahead of Powell Congress testimony

Tuesday, 9 July 2024

Indices

BP dips, Powell Congress speech ahead, records for Tokyo, NY

Live Chat