Euro jumps to highest vs Swiss franc since late May
NEW YORK: The euro extended gains versus the traditional safe-haven Swiss franc, hitting its highest level since late May as investors sought to cover short positions and risk sentiment improved.
The euro rose to a global session high of 1.2354 Swiss francs, its highest since late May and was last at 1.2346 francs, up 1 percent.
"There is a general reversal of the negative sentiment we had over the last few days as well as some short covering ahead of tomorrow's European Central Bank policy announcement," said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange in Washington.
Comments made by German chancellor Angela Merkel on potentially using the European Financial Stability Fund to recapitalize European banks also helped underpin the risk trade and the euro, traders said.
US stocks advanced amid signs that officials were moving forward to help struggling European banks.
Copyright Reuters, 2011
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