The Swiss franc has gained sharply versus its European and American counterparts in recent weeks.
Wednesday’s session saw the CHF appreciate the most against the US dollar since the 27th day of March, dropping around 160 pips from its start price of 0.8303. This price action came on the back of a weak Greenback after US Fed Chairman, Ben Bernanke testified in Congress.
"The comments were not upbeat by any means, and obviously, no one wants the economy to get to the point where more stimulus is needed," comments Richard Sichel, chief investment officer of Philadelphia Trust Co.
The franc has strengthened versus the euro as investors seek a refuge from the ongoing debt crisis in the euro region, particularly as Fitch Ratings on Wednesday downgraded Greece deeper into junk territory, citing the absence of a new and fully funded financing program for the country.
The dollar is now extending its decline against its major rivals as Moody's Places US Aaa Government Bond Rating and Related Ratings on Review for Possible Downgrade.
The Swiss currency has risen about 11% versus its euro-zone and U.S. counterparts in the past three months. At the time of writing, USD/CHF is under pressure in early Asia, quoted at 0.8110, down from 0.8176. Versus the Euro, the Swiss currency is quoted a 1.1510, down from 1.1576.
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