Pound finds support against the Swiss Franc but for how long?

GBPCHF - The Brexit barometer

The Pound has found a little bit of support against the Swiss Franc with GBPCHF exchange rates trading just above 1.30.

The Pound has dipped below 1.30 on a number of occasions but it keeps bouncing back above suggesting that there is a lot of support at these levels.

Sterling has really struggled to make gains vs the Swiss Franc in recent weeks and it is being held back by the uncertainty caused by what is happening with the ongoing Brexit talks.

David Davis and Boris Johnson both resigned earlier this month citing problems and disagreeing with the plans set out by the Government as to how to sort out the Brexit issue.

Theresa May has narrowly been able to get two bills passed in the last fortnight but as they have been so close this has caused the Pound to remain under a lot of pressure.

Indeed, there have been some rumours that she could be heading towards a general election but in my opinion I think at the moment this is highly unlikely.

Part of the other reason for the strength of the Swiss Franc is because of the ongoing global tensions and the Trade Wars between the US and China which is encouraging global investment to seek the safe haven of the Swiss Franc.

Last week the UK also posted lower inflation as well as some terrible retail sales data and this means that the chances of an interest rate hike coming on 2nd August in the UK is becoming less and less likely.

If you’re thinking about buying Swiss Francs in the near future it may be worth getting this organised soon as I can only see further problems ahead for the Swiss Franc.

If you would like assistance with timing your transfer and maximising your Swiss Franc return, compared to using your own bank then contact me directly for a free quote, you can call on 01494 725 353 or email me using teh@currencies.co.uk, I look forward to hearing from you.