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Grace Cheng

Which is a safer haven?

By Grace Cheng on July 18, 2006 | More Posts By Grace Cheng | Author's Website

Surprise, surprise. What has happened to the Swiss franc
as the safe haven currency? The US dollar has become
a surprising beneficiary of safe haven-led flows
, as escalating Mideast
violence continues to play out. The US dollar has pushed higher amid frantic
bidding, also contributed by higher safe haven demand for gold and oil, both
priced in the US dollars.

Confused by classical
fundamental analysis about higher oil eating away at the US dollar, or the Chf
as the premium safe haven currency?

Time to learn from the ever-changing market,
and not your old textbooks.

 

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