The SNB summary, published Oct. 22, said safe-haven demand had been limited through its September assessment; Reuters had reported on Oct. 20 that the franc was up more than 2% against the euro in October.
The timing separates the bank’s assessment from the later market move. The SNB’s September policy assessment took place Sept. 22-23, and its summary said the franc had lost about 3% on a trade-weighted basis since its June assessment. It also said wider interest-rate differentials and low currency volatility had made the franc more attractive as a funding currency for carry trades.
In its Oct. 20 report, Reuters said the franc had gained over 2% against the euro in October, putting it on pace for its strongest monthly performance since late 2023. Georgette Boele, senior FX and oil strategist at ABN Amro, told Reuters, “Concerns about France’s public finances and election uncertainty in France and Spain have supported the franc.”
French bond-market measures also rose. Reuters reported that France’s 10-year government bond yield reached 5.1415% intraday on Oct. 22, its highest since July 2002. Reuters said the French-German 10-year yield gap reached 177.7 basis points, its widest since November 2011. Reuters linked pressure on French assets to concerns over public finances and ongoing protests.
For the dollar, FXStreet reported USD/CHF at 0.8213 francs per dollar on Oct. 22 after the pair briefly fell below 0.8200 to a one-month low. The outlet said the pair had declined 2.3% in less than two weeks.
France’s National Institute of Statistics and Economic Studies reported consolidated general-government debt of €3,595.5 billion, or 119% of GDP, at the end of the second quarter of 2026, up from 117.5% in the first quarter. Switzerland’s Federal Department of Finance reported net federal debt of CHF 140 billion, or 16.1% of GDP, at the end of 2025. The figures use different measures and dates, so they are not directly comparable.
The SNB kept its policy rate at 0%, while the Federal Reserve raised its target range by 25 basis points in September to 3.75%-4.00%. The Fed’s next meeting is scheduled for Tuesday and Wednesday, Oct. 27-28, and the SNB’s next monetary-policy assessment is set for Dec. 10.
