Euro/CHF: towards stabilization at near parity?

The franc has shown some instability against the euro, with significant fluctuations around the parity, in particular due to monetary policy adjustments by central banks and geopolitical tensions.

The franc started the year with a downward trend against the euro, mainly due to decisions by the Swiss National Bank (SNB) to support the economy by cutting interest rates, which weakened the Swiss currency against the euro. The SNB maintained an accommodative monetary policy to counter the effects of moderate inflation and support exports.

In late spring and since early summer, the exchange rate has experienced significant fluctuations. In May, the euro almost reached parity with the franc. Before falling back due to the announcement of interest rate cuts by the European Central Bank (ECB). In June, the euro fell against the franc, reaching levels around 0.95 francs for 1 euro.

And for the end of the year? Forecasts suggest a stabilization of the franc with an exchange rate oscillating around 0.96 to 0.98 euros per 1 franc. Unless there are further major geopolitical disruptions. Experts anticipate that the SNB could maintain, or even slightly increase, its interest rates if inflation remains under control, which could strengthen the Swiss currency against the European currency.

In summary, the current rate of between 0.95 and 0.96 euros for 1 franc is a great opportunity to exchange your vacation and your salary in francs.

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