The Swiss franc made a re-emergence as a safe haven currency
, which drove EUR-CHF down by 0.5%.
In particular, in chapter 7, he argues that, given current institutional constraints, the goal of making the RMB a safe haven currency
is a "mirage."
Acknowledging that the central bank's policy of negative rates and intervention has helped to meet its objectives, the IMF opined that the central bank should consider deeper negative rates, or cutting the existing threshold for deposits now exempt from negative interest, in order to make the franc even less attractive as a safe haven currency
They said they recognize that "excessive volatility and disorderly movements in exchange rates can have adverse implications for economic and financial stability." Switzerland's central bank added it had "intervened" in the foreign exchange market to stabilize the Swiss franc, considered a safe haven currency
, following the Brexit verdict.
Zurich: Switzerland's central bank on Thursday announced it was introducing negative interest rates, in a bid to stop the Swiss franc -- a safe haven currency
-- from gaining further value.
dollar seems invincible because each time there is economic turmoil, the rest of the world is forced to beat a path to America's safe haven currency
- a circumstance unlikely to change soon, according to economist Eswar Prasad, who notes that despite the U.S.
The "Sabaek Al-Kuwait" report said that these data pushed investors towards acquisition of the yellow metal and abandon the dollar as a safe haven currency
with continuing decline against European currencies and the Japanese yen.
The dollar remained weak in Tokyo trading hours, with some traders fleeing to buy the yen, deemed a safe haven currency
The latest move by the SNB has converted the Swiss franc's status from safe haven currency
to carry currency - with Swiss interest rates at zero per cent, essentially Swiss loans could be plowed into German bunds for a yield of just under two per cent.
However, with lending rates already close to zero, the Swiss central bank has been unable to cut rates in order to cool interest in the safe haven currency
Heightened risk aversion and escalating concerns over the euro zone debt problems further support the safe haven currency
. Against the Japanese yen, the dollar fell to 80.48 from 81.02.
The Swiss franc was in demand in 2010 as a safe haven currency
and with the euro crisis set to deepen again in the first half 2011, this tendency is likely to continue, said Kubli.