The euro exchange rate today finds itself, once again, at the whim of market risk-sentiment. The euro exchange rate is 0.688% higher against the US dollar with EUR USD at 1.4186 at 10 AM in London. The EUR to GBP exchange rate is 0.495% higher with 1 EUR = 0.8796 GBP. "The euro continued to have a rough time yesterday, in particular falling against the dollar and Swiss franc as traders sought after the safer currencies. Naturally the euro took a beating in line with the equity sell off which were hit hard yesterday after more worries over the euro zone debt situation," says a note from Simon Denham at Capital Spreads; one of the UKs premier spread betting companies. Against the dollar, the single currency has fallen consistently for five days and it looks like this morning we are seeing a bit of a bear squeeze. "Equities are up and the euro has bounced around 60 pips to 1.4109 breaking through its resistance level. Although this could be a positive signal, it is capped by a medium term declining trend line, so traders should be cautious of a reversal," says a note from the spread betting company. Swiss National Bank takes action The Swiss National Bank (SNB) has set a minimum exchange rate of 1.20 francs to the euro, saying the current value of the franc is a threat to the economy. The SNB said it would enforce the minimum rate by buying foreign currency in unlimited quantities. The move had an immediate effect, with the euro rising from about 1.10 francs before the announcement to 1.21 francs. It is the latest attempt by the central bank to weaken its currency, which has been at export-damaging record highs. The SNB has previously said that it would increase available deposits to commercial banks, as well as cut interest rates.

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