Investing.com – The U.S. dollar fell to a fresh daily low against the Swiss franc on Wednesday, after official data showed that Swiss consumer price inflation rose slightly more-than-expected in February.
USD/CHF hit 0.9323 during European morning trade, the daily low; the pair subsequently consolidated at 0.9333, shedding 0.18%.
The pair was likely to find support at 0.9260, Tuesday’s low and resistance at 0.9391, the high of February 23.
The Federal Statistics Office said Swiss consumer prices rose 0.4% compared with January, taking the annual inflation rate in February to 0.5%. Analysts had expected the annual rate to rise 0.4%, from 0.3% in January.
Core inflation, which excludes volatile price components like food or energy and fuel, rose 0.1% in February.
The report said that the pick-up in inflation was driven by driven by higher rents and increasing costs for energy and fuel but the strength of the Swiss franc dampened the price increase for imported oil and food products, giving the Swiss National Bank leeway to hold interest rates unchanged this month.
The Swissie was also up against the euro, with EUR/CHF shedding 0.53% to hit 1.2931.
On Friday, the vice chairman of the Swiss National Bank said the bank will have to raise interest rates in the mid-term to ensure price stability.
USD/CHF hit 0.9323 during European morning trade, the daily low; the pair subsequently consolidated at 0.9333, shedding 0.18%.
The pair was likely to find support at 0.9260, Tuesday’s low and resistance at 0.9391, the high of February 23.
The Federal Statistics Office said Swiss consumer prices rose 0.4% compared with January, taking the annual inflation rate in February to 0.5%. Analysts had expected the annual rate to rise 0.4%, from 0.3% in January.
Core inflation, which excludes volatile price components like food or energy and fuel, rose 0.1% in February.
The report said that the pick-up in inflation was driven by driven by higher rents and increasing costs for energy and fuel but the strength of the Swiss franc dampened the price increase for imported oil and food products, giving the Swiss National Bank leeway to hold interest rates unchanged this month.
The Swissie was also up against the euro, with EUR/CHF shedding 0.53% to hit 1.2931.
On Friday, the vice chairman of the Swiss National Bank said the bank will have to raise interest rates in the mid-term to ensure price stability.