ZURICH: The Swiss franc gained against the US dollar and euro, as unexpectedly poor Chinese trade data for June sparked worries over the health of the world's second-largest economy and fueled demand for the safe-haven currency.
China's yuan sank against the dollar on Wednesday after Chinese exports fell by 3.1 percent in June from a year earlier, the first decline since January 2012, shocking a market that had previously expected a 4.0 percent rise.
"Euro-franc is trading in an extremely narrow band, and it's easy to see the risk-on and risk-off movements over a day's trading," Bank J. Safra Sarasin strategist Ursina Kubli said.
Near-term focus for currency dealers is on the minutes of the US Federal Reserve's June meeting later on Wednesday and a speech by Chairman Ben Bernanke, which may give fresh ammunition to dollar bulls.
Investors will scrutinise the Fed's minutes and Bernanke's comments for fresh hints on when the Fed will start reducing its asset purchases, and whether there will be any catalysts for further dollar buying.
The franc rose 0.1 percent against the dollar to trade at 0.9709 by 0655 GMT compared to the New York close.
The franc rose 0.1 percent against the euro to 1.2429.
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