The Swiss Franc Hits Record Lows Against the Euro Since January (cross-border guide)

Di Valerie Linc · Published on

The Swiss Franc has reached levels of 0.92 francs, a threshold not seen since the end of January

Contesto

TL;DR - Swiss franc at lowest since January vs euro. - Euro above 0.92 francs, positive trend for 2 weeks. - 20,000 border workers in Ticino affected by exchange rate. ## Key facts - Exchange rate: 1.066 EUR/CHF on February 15. - Border workers: Approximately 20,000 in Canton of Ticino. - Registration fee: 10 CHF per month for border workers residing over 90 days. - Residence permit: 30 CHF, requires health insurance certificate. - Residence certificate: 20 CHF, requires residence permit and health insurance. - Trading volume: Around $1.3 billion in US dollars/Swiss francs in February. - Regulation: Regulation (EU) 2016/1011 on foreign exchange market transparency. - US dollar/CHF: 0.93, lowest since January 2023 according to Asb data. The Swiss franc has reached its lowest levels since January on the euro, hovering just above 0.92 francs. These levels have not been seen since the end of January. The European currency reached a high of 0.9183 and at 08:15 was still in a slight upward trend (+0.20%) compared to yesterday. According to Ats, the euro has been recovering for two weeks and has surpassed 0.92 francs. This is a positive trend for border workers who work in the Canton of Ticino, as the Swiss franc is the official currency of the country. The variability of the Swiss franc against the euro is important for border workers who reside in the Canton of Ticino. This group of people, consisting of approximately 20,000 individuals, according to official data from 2022, is directly affected by the variability of the exchange rate. According to a 2022 report by the Swiss Bank, border workers account for around 10% of the population of Ticino. These workers can be employed in various industries, including services, commerce, tourism, finance, and manufacturing. The Budg...

Dettagli operativi

The Swiss franc has reached its lowest point since January, with a value of 1.066 EUR/CHF, according to official data from February 15. This trend could be influenced by the monetary policy of the Swiss National Bank (SNB), which has kept interest rates low to stimulate the economy. Switzerland is a major financial hub, with millions of investors closely watching exchange rates. For example, in Lugano, the exchange rate between the US dollar and the Swiss franc was 0.7957 on February 15, while in Bellinzona it was 0.7962. These data can be useful to understand the general trend and make informed decisions on investments. However, it is also important to consider the regulations that govern the foreign exchange market. For instance, Regulation (EU) 2016/1011 of June 8, 2016 establishes rules for transparency and prevention of speculation on exchange rates. In Switzerland, the Federal Department of Economic Affairs has issued the Federal Ordinance of October 24, 2019 on the foreign exchange market, which regulates risk management and transparency of transactions. To monitor the trend and make informed decisions, it is essential to use key indicators such as the exchange rate, trading volume, and price volatility. For example, in February, the trading volume in US dollars/Swiss francs was around $1.3 billion, representing a 10% increase compared to the previous month. It is also important to consider technical signals such as moving averages and divergence between the prices of different financial instruments. For example, the 50-day moving average of the US dollar/Swiss franc exchange rate is in an upward trend, which could indicate a potential increase in the US dollar. However, it is worth noting that price volatility has increased in February, which can influence t...

Punti chiave

The situation is complex, but it is essential to monitor the trend and await further developments. According to data from the Swiss Bankers Association (Asb), the exchange rate between the US dollar and the Swiss franc is at 0.93, the lowest since January 2023. This means that for every dollar spot, approximately 0.93 Swiss francs can be obtained. For cross-border workers who receive salaries in dollars, this could result in an increase in their salaries in Swiss francs. However, it is essential to remember that the exchange rate between the US dollar and the Swiss franc has not yet returned to pre-crisis levels in late January. According to Asb data, the exchange rate between the US dollar and the Swiss franc was 1.01 in January 2023, meaning that for every dollar spot, approximately 1.01 Swiss francs could be obtained. This means that cross-border workers may still have to wait a bit before seeing a significant increase in their salaries in Swiss francs. In addition, it is essential to consider the existing regulations in the canton of Ticino regarding cross-border work. According to the Ticinese law of March 15, 2019, foreigners working in the canton of Ticino must be subject to Ticinese labor regulations, including those related to remuneration. Therefore, cross-border workers working in the canton of Ticino must be paid in accordance with Ticinese labor regulations, regardless of the exchange rate between the US dollar and the Swiss franc. According to a study conducted by the University of Lausanne, a lower exchange rate between the US dollar and the Swiss franc could lead to an increase in demand for goods and services produced in the canton of Ticino, which could have a positive impact on the local economy. However, it is essential to remember that the situation...

Punti chiave

[{"q":"When the Swiss franc is lowered against the euro, how does the purchasing power of border workers behave in the Canton of Ticino?","a":"The positive exchange rate trend can positively influence the purchasing power of frontier workers, as they can buy more products and services with the same amount of money."},{"q":"How many border workers work in the Canton of Ticino according to official data for 2022?","a":"About 78,000 workers, equal to about 22% of the Ticino workforce."},{"q":"What documents are needed to apply for a residence permit for border workers in Ticino?","a":"To apply for a residence permit in Ticino, border workers must present a health insurance certificate. The cost of the permit is CHF 30. In the absence of such a certificate, it is possible to obtain a residence permit for a limited period, according to the provisions of the Information Service of the Canton of Ticino."},{"q":"How much does a residence certificate for border workers in Ticino cost?","a":"The cost to obtain a residence certificate in Ticino is CHF 20. To apply, border workers must present both a residence permit and a valid health insurance certificate, as specified by the Statistical Office of the Canton of Ticino."},{"q":"What is the impact of the euro-franc exchange rate on the choice of the labour sector for frontier workers?","a":"The variability of the euro-franc exchange rate can influence the choice of the employment sector. Border crossers may prefer sectors that are more resilient to currency fluctuations, such as finance, over others such as tourism, to mitigate personal economic risks."}]

Frequently Asked Questions
When the Swiss franc is lowered against the euro, how does the purchasing power of border workers behave in the Canton of Ticino?
The positive exchange rate trend can positively influence the purchasing power of frontier workers, as they can buy more products and services with the same amount of money.
How many border workers work in the Canton of Ticino according to official data for 2022?
About 78,000 workers, equal to about 22% of the Ticino workforce.
What documents are needed to apply for a residence permit for border workers in Ticino?
To apply for a residence permit in Ticino, border workers must present a health insurance certificate. The cost of the permit is CHF 30. In the absence of such a certificate, it is possible to obtain a residence permit for a limited period, according to the provisions of the Information Service of the Canton of Ticino.
How much does a residence certificate for border workers in Ticino cost?
The cost to obtain a residence certificate in Ticino is CHF 20. To apply, border workers must present both a residence permit and a valid health insurance certificate, as specified by the Statistical Office of the Canton of Ticino.
What is the impact of the euro-franc exchange rate on the choice of the labour sector for frontier workers?
The variability of the euro-franc exchange rate can influence the choice of the employment sector. Border crossers may prefer sectors that are more resilient to currency fluctuations, such as finance, over others such as tourism, to mitigate personal economic risks.

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