What will happen next on the Swiss Franc to pound exchange rate?

GBPCHF Strengthens on News That COVID-19 Spread Appears to Be Slowing

The pound to Swiss Franc exchange rate has been tracking a very uncertain range with a number of conflicting factors pushing the rates in different directions. If you have an exchange to make buying or selling the Franc or the pound an understanding of the fresh events and news that will drive the pair is key to making sure that you are not caught out.

Firstly risk sentiment is probably one of the biggest factors to understand for the Franc. As a safe haven currency the Swissie, or CHF, will strengthen when in demand globally. Demand can arise when investors are fearful over global events which could take an economic or political form. Examples include the recent uncertainty over the US stock markets which saw the Franc rise in value.

Investors see the Franc as a most stable holder of value and will increase their share in times of global concerns. Likewise when sentiments improve and there is less reason to hold the safe haven investments the Franc will weaken in value.

A key driver on the pound at present has been Brexit and tomorrow sees a key release of Boris Johnson giving a speech on Brexit. With the potential to really put the cat amongst the pigeons, his speech could easily upset the pound and the Swiss Franc rates. I would not be surprised to see the pound rise if he delivers a confident outloook on Brexit, however, he could easily cause GBP weakness.

If you have a transfer to make in the future buying or selling the pound or Swiss Franc then understanding the market is key to maximising your position. For more information at no cost or obligation please speak to me Jonathan Watson by emailing [email protected].

Thank you for reading and I look forward to hearing from you.