Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Forex - USD/CHF rises as market sentiment wanes

Published 01/30/2012, 05:10 AM
USD/CHF
-
EUR/CHF
-
Investing.com - The U.S. dollar was higher against the Swiss franc on Monday, as disappointing U.S. gross domestic product data and caution ahead of a key European Union summit supported safe haven demand.

USD/CHF hit 0.9183 during European morning trade, the daily high; the pair subsequently consolidated at 0.9179, adding 0.60%.

The pair was likely to find support at 0.9107, the low of November 22 and resistance at 0.9251, the high of November 30.

Sentiment weakened after official data on Friday showed that U.S. gross domestic product expanded by 2.8% in the three months to December, the fastest quarterly rate in one-and-a-half years, but slightly below expectations for an increase of 3%.

Meanwhile, delays in talks between Greece and its private creditors on a debt restructuring deal also weighed.

An agreement is necessary for Athens to secure its next tranche of bailout funds in order to avoid a default when a EUR14.5 billion bond repayment comes due on March 20.

Later in the day, EU leaders were meet in Brussels, where they were expected to sign off on the implementation of the European Stability Mechanism, a EUR500 billion permanent euro zone bailout find, as well as a pact aimed at enforcing deficit control measures in the region.

Elsewhere, the Swissie was higher against the euro with EUR/CHF shedding 0.08%, to hit 1.2052.

Later Monday, the U.S. was to publish government data on personal spending and the consumer price index.


Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.