(RTTNews) - The Swiss franc staged a strong rally against most of its major opponents on Monday morning in New York. The franc climbed to a fresh multi-month high against the pound and a 4-day high against the currencies of Europe and the US. The Swiss franc soared to 1.6179 against the pound around 10:35 am ET, the highest level since March 18. The alpine unit thus advanced more than 1 percent against the sterling from last week's close of 1.635. On the upside, the Swiss franc targets the 1.608 resistance level. Traders considered comments made by UK Prime Minister Gordon Brown, saying plans to end government stimulus measures and quantitative easing would imperil the recovery. The recovery to date was fragile, Brown warned during a discussion with economic commentators at Bloomberg in the City of London. He said major risks to the international and domestic economic recovery remain, and extreme care will be required over the coming months. Elsewhere today, the independent think-tank, the Center for Economics and Business Research said the incoming government will need to get the budget deficit down to GBP 50 billion by 2014/15. Without fiscal action, the CEBR predicts a deficit of GBP 143 billion in that year. Further, the CEBR said the British base rate is set to stay at 0.5% until 2011 at least and to remain below 2% to 2014. Also, the CEBR forecasts the central bank to increase quantitative easing by GBP 75 billion. The franc that plunged to a 12-day low of 1.5206 against the euro climbed 0.3 percent to a 4-day high of 1.5162 around 10:25 am ET. The euro-franc pair, which closed last week's deals at 1.5191, is presently worth 1.5165 with 1.515 seen as the next target level. The euro edged slightly higher today following the German Federal Statistical Office announced that the wholesale price index or WPI decreased 8.1% year-on-year in September, compared to the 8.3% fall in the previous month. However, the common unit failed to sustain momentum thereafter. On a monthly basis, wholesale prices dropped 0.2% in September, in contrast to a 0.7% increase in the previous month. The Swiss franc has been trading higher against the Japanese yen since 9:30 am ET. The franc advanced to 87.84 against the yen around 10:45 am ET and the pair is thus heading closer to its previous session's 17-day high of 87.86. The franc-yen pair was quoted 87.08 at Friday's close. The Swiss franc climbed to a 4-day high of 1.0239 against the US dollar around 10:45 am ET, compared to 1.032 hit late New York Friday. The pair is presently worth 1.024 with 1.021 seen as the next target level. As there are no major economic report due from U.S. Today, global investors are eyeing third-quarter earnings announcements and forecasts for the coming quarters for signs the U.S. economy is on a sounder footing. After aluminum maker Alcoa Inc. kicked earnings season off with results that topped expectations, major banks like JPMorgan Chase & Co. and Citigroup Inc. will be releasing their reports this week, as well as Google Inc. and General Electric Co.

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