Swiss Frank Finds Strength as a Safe Haven Currency

“The Swiss franc rose against all of its 16 major counterparts, reaching a record versus the dollar, as declines in stocks and commodities damped demand for higher- yielding assets.

The dollar erased earlier gains versus the euro amid concern theFederal Reserve will trail the European Central Bank in raising interest rates. Canada’s dollar fluctuated after rising earlier as Prime Minister Stephen Harper’s Conservatives won a majority in Parliament for the first time, and the Australian and New Zealand dollars fell for a second day.

“To some degree it’s a risk-off environment, and that’s keeping a pretty good footing on the Swiss,” said Mary Nicola, a currency strategist at BNP Paribas SA in New York. “We’re expecting dollar weakness to resume.”

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