{"id":118112,"date":"2026-08-20T18:57:44","date_gmt":"2026-08-20T18:57:44","guid":{"rendered":"https:\/\/www.europesays.com\/ch\/118112\/"},"modified":"2026-08-20T18:57:44","modified_gmt":"2026-08-20T18:57:44","slug":"swiss-franc-rises-sharply-after-us-treasury-announcement","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ch\/118112\/","title":{"rendered":"Swiss franc rises sharply after US Treasury announcement"},"content":{"rendered":"<p>    <img src=\"https:\/\/www.europesays.com\/ch\/wp-content\/uploads\/2026\/08\/78cfe286f4a4aa9f1eea9023534cd82beb3a479b-91922813.jpg\" width=\"1400\" height=\"1050\" alt=\"Franc significantly stronger following US announcement\" loading=\"eager\" decoding=\"sync\" fetchpriority=\"high\"\/><\/p>\n<p>                Franc significantly stronger following US announcement            <\/p>\n<p>            Keystone-SDA        <\/p>\n<p>        On Wednesday afternoon, the Swiss franc suddenly rose sharply in value against the US dollar, but also against the euro. The main reason is an announcement by the US Treasury.\n<\/p>\n<p>            Listen to the article        <\/p>\n<p>            Listening the article        <\/p>\n<p>                Toggle language selector            <\/p>\n<p>                            English (US)                        <\/p>\n<p>                            English (British)                        <\/p>\n<p>            Generated with artificial intelligence.        <\/p>\n<p>        This content was published on    <\/p>\n<p>        August 20, 2026 &#8211; 09:14\n<\/p>\n<p>The dollar\/franc exchange rate fell from over 0.81 to just under 0.80, while the euro\/franc exchange rate fell from over 0.94 to as low as 0.9323. Traders attributed this primarily to dollar weakness. This was reportedly triggered by the US Treasury, which intends to significantly increase its repurchases of long-term bonds.<\/p>\n<p>Yields on US government bonds fell sharply immediately following the announcement. This makes US bonds less attractive to investors, and capital flows are increasingly moving into other countries or asset classes, which immediately weakened the dollar. Shortly after the announcement, the price of gold therefore rose by more than $100 (CHF79) to just under $4,500 per ounce. Bitcoin also climbed back up to nearly $70,000, reaching its highest level since early June.<\/p>\n<p>The Treasury Department\u2019s move signalled concern about the ongoing sell-off in the bond market, which had driven yields on 30-year bonds to their highest level since 2007. The recent sharp rise in yields had triggered concerns on the financial markets.<\/p>\n<p>Stronger against the euro too<\/p>\n<p>Market sources suggested that the franc\u2019s appreciation against the euro was also linked to this announcement. In recent weeks, the franc had generally been on the weaker side. The US announcement should therefore be seen merely as a catalyst that has now led to a counter-movement, a trader told the AWP news agency. In particular, the large interest rate differential with the US and the eurozone had recently been putting the franc under pressure.<\/p>\n<p>\n    More<\/p>\n<p>    <img src=\"https:\/\/www.europesays.com\/ch\/wp-content\/uploads\/2026\/08\/Untitled-5.png\" width=\"1920\" height=\"1080\" alt=\"From the monetary chaos of the 19th century to its status today as a global safe haven, this is the story of how the Swiss franc emerged and why it inspires such confidence.\" loading=\"lazy\" decoding=\"async\" fetchpriority=\"auto\"\/><\/p>\n<p>        More    <\/p>\n<p>        History\n        <\/p>\n<p>        How the Swiss franc became one of the world\u2019s most trusted currencies    <\/p>\n<p class=\"teaser-wide-card__excerpt\">\n<p>                        This content was published on                    <\/p>\n<p>                        Feb 25, 2026                    <\/p>\n<p>                From the monetary chaos of the 19th century to its status today as a global safe haven, this is the story of how the Swiss franc emerged and why it inspires such confidence.            <\/p>\n<p>    <a class=\"teaser-wide-card__link\" href=\"https:\/\/www.swissinfo.ch\/eng\/history\/how-the-swiss-franc-became-one-of-the-worlds-most-trusted-currencies\/90960904\" target=\"_self\" rel=\"nofollow noopener\"><\/p>\n<p>            Read more: How the Swiss franc became one of the world\u2019s most trusted currencies<br \/>\n    <\/a><\/p>\n<p>Furthermore, the franc\u2019s role as a \u201csafe haven\u201d could also be a factor. Iran has threatened attacks on European soil, which is causing uncertainty and driving investors towards safe-haven currencies such as the franc. Overall, therefore, one could speak less of genuine franc strength and more of a combination of various factors that are benefiting the franc, the trader added.<\/p>\n<p>+\u00a0<a href=\"https:\/\/www.swissinfo.ch\/eng\/about-us\/how-swissinfo-produces-news-in-english\/91695684\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">How we produce English news<\/a><br \/>Translated from German, reviewed by an\u00a0<a href=\"https:\/\/www.swissinfo.ch\/eng\/department\/english-department\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">English Department<\/a>\u00a0journalist.<\/p>\n<p>        Articles in this story    <\/p>\n","protected":false},"excerpt":{"rendered":"Franc significantly stronger following US announcement Keystone-SDA On Wednesday afternoon, the Swiss franc suddenly rose sharply in value&hellip;\n","protected":false},"author":2,"featured_media":118113,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[4],"tags":[101,312,114,15772,100,103,102,41,17],"class_list":["post-118112","post","type-post","status-publish","format-standard","has-post-thumbnail","category-switzerland","tag-article","tag-beat-various","tag-business","tag-currency-values","tag-latest-news","tag-production-type-deepl-autotranslation","tag-sda-ready-to-publish","tag-swiss","tag-switzerland"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ch\/117129369812795775","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/118112","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/comments?post=118112"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/118112\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media\/118113"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media?parent=118112"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/categories?post=118112"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/tags?post=118112"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}