When Investors Mention Euro Systemic Risk, Traders Turn to Franc
- Biggest gain versus euro last week since mid-December
- Systemic-risk surge positive for Swiss currency: Lombard Odier
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The Swiss franc rose against all of its 16 major peers as volatility increased in Europe’s corporate bond market and costs rose for protecting against default among banks and insurers.
The franc’s surge against the euro added to a gain last week that was the biggest since mid-December. Before the rally that began three days ago, the franc had depreciated 2.4 percent against the single currency, even as stock markets globally tumbled.