The Swiss Franc has been the outstanding currency since the coronavirus crisis gathered momentum in Europe at the end of last week, perfectly incarnating its role as a safe haven as anxiety levels rise. The Franc has gained more than 1% to the Dollar over the last five trading sessions and, crucially, 4.5% against the Japanese Yen, the other refuge asset currency par excellence.
Japan is very close to the epicentre of the crisis in Asia and its currency is suffering the impact of investors’ concerns over the fallout for the region given the slowdown of the Chinese economy. As the coronavirus situation threatens to become a global pandemic, the Swiss Franc is emerging as the ultimate safe-haven currency.
