Published by Mark Smith-HalvorsenThe Swiss franc has traded at new historic lows as a further round of credit downgrades sweeps through the eurozone.While forex brokers sought safety in hedge currencies, yields on ten-year Swiss bonds fell to an unprecedented 1.02 per cent. No other industrialised nation apart from Japan has seen bond yields fall below one per cent.Speaking to the Telegraph, Hans Redeker, currency chief at BNP Paribas, said that in recent months, increased investment in the Swiss franc has served as a precursor to further economic instability in the eurozone."We may be seeing a rerun of what happened in May," he said, while Phil Jordan from Monument Securities said even Britain was witnessing a drop in bond yields due to hedge trading.In forex trading this morning, the dollar was marginally lower against the Swiss franc at around 1.307 as European markets opened.For more information on foreign exchange treasury services and risk management, visit our Corporate FX site.