Safe Haven Hits Record Strength Against The US Dollar

(MENAFN- Swissinfo) The Swiss franc, regarded as a safe haven by investors, appreciated sharply on Friday following Israel's attacks on Iran, which announced its intention to retaliate. This content was published on June 13, 2025 - 13:18 3 minutes Keystone-SDA

• Français fr Le franc recherché par les investisseurs en mal de valeurs refuges Original Read more: Le franc recherché par les investisseurs en mal de valeurs refuge
• Русский ru Швейцарский франк усиливается на фоне атак Израиля на Иран Read more: Швейцарский франк усиливается на фоне атак Израиля на Ира

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The surge in the value of the Swiss franc is likely to further complicate the task of the Swiss National Bank (SNB), which is anxious to prevent its currency appreciating too much. Against the dollar, the franc strengthened to 0.8082 USD/CHF in the early hours of the morning – a record level.

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Shortly before 11am, the Swiss currency eased slightly against the greenback, trading at USD/CHF 0.8124.

The movement was similar against the euro, the currency pair having hit a low of 0.9305 EUR/CHF on Thursday night, but still well off the low of 0.9234 EUR/CHF reached at the beginning of April following the trade war launched by Washington. At around 11am, the franc was easing to 0.9368 to the euro.

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Israel announced on Friday that it had struck hard at Iran, hitting around a hundred targets including nuclear sites and killing the two most senior military officials in the Islamic Republic, which has vowed revenge.

The strikes come amid mounting pressure on Iran over its nuclear programme, with Israel and Western states suspecting Tehran of seeking nuclear weapons, which it denies. Fears of an imminent attack by Israel, Tehran's sworn enemy, have been growing for several days.

“The surge in geopolitical tensions naturally favours safe havens,” said Swissquote analyst Ipek Ozkardeskaya.

These attacks“have heightened geopolitical uncertainties, but the impact on the markets depends on the extent and speed of the Iranian response”, said Vontobel expert Mark Diethelm in a note. In the short term, the markets should see a reduction in risk, he anticipated.

Translated from French by DeepL/mga

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