Investing.com – The euro snapped five days of gains against the Swiss franc on Monday as markets remained cautious ahead of a meeting of European Union finance ministers in Brussels.
EUR/CHF hit 1.2812 during European afternoon trade, the pair’s lowest since Thursday; the pair subsequently consolidated at 1.2834, shedding 0.48%.
The pair was likely to find support at 1.2683, Thursday’s low and resistance at 1.2949, Friday’s high and a one month high.
European finance ministers were to meet later Monday to discuss increasing the European Financial Stability Facility, an emergency lending mechanism for fiscally troubled countries.
However, it was expected that a final decision would only be made at a European Council meeting, due to be held in early February.
Over the weekend, Swiss Finance Minister Eveline Widmer-Schlumpf said she saw no reason now for the Swiss central bank to try to fight the strong franc and said she expected the euro to recover soon.
Her comments came after a crisis meeting of Swiss government, business, banks and trade union representatives to discuss the franc’s recent record gains against the euro and the dollar and its damaging impact on the Swiss economy.
The euro was also lower against the U.S. dollar, with EUR/USD tumbling 0.78% to hit 1.3282.
Also Monday, markets in the U.S. were to remain closed for Martin Luther King Day.
EUR/CHF hit 1.2812 during European afternoon trade, the pair’s lowest since Thursday; the pair subsequently consolidated at 1.2834, shedding 0.48%.
The pair was likely to find support at 1.2683, Thursday’s low and resistance at 1.2949, Friday’s high and a one month high.
European finance ministers were to meet later Monday to discuss increasing the European Financial Stability Facility, an emergency lending mechanism for fiscally troubled countries.
However, it was expected that a final decision would only be made at a European Council meeting, due to be held in early February.
Over the weekend, Swiss Finance Minister Eveline Widmer-Schlumpf said she saw no reason now for the Swiss central bank to try to fight the strong franc and said she expected the euro to recover soon.
Her comments came after a crisis meeting of Swiss government, business, banks and trade union representatives to discuss the franc’s recent record gains against the euro and the dollar and its damaging impact on the Swiss economy.
The euro was also lower against the U.S. dollar, with EUR/USD tumbling 0.78% to hit 1.3282.
Also Monday, markets in the U.S. were to remain closed for Martin Luther King Day.