⏳ Final hours! Save up to 60% OFF InvestingProCLAIM SALE

Forex - Dollar hits session low against Swiss franc in thin trade

Published 08/13/2012, 07:23 AM
USD/CHF
-
EUR/CHF
-
Investing.com - The U.S. dollar slid to a session low against the Swiss franc in thin trade on Monday, as expectations that world central banks will implement more easing measures to support the global economy supported market sentiment.

USD/CHF hit 0.9718 during European afternoon trade, the pair’s lowest since Thursday; the pair subsequently consolidated at 0.9720, down 0.54%.

The pair was likely to find support at 0.9685, the low of August 8 and resistance at 0.9793, the session high.

Earlier in the day, official data showed that Japan’s economy grew just 0.3% in the three months to June, half as much as expectations for a 0.6% expansion, from an upwardly revised 1.2% in the first quarter, as export demand was hit by the debt crisis in the euro zone.

The data came after data on Friday showing that Chinese exports dropped sharply in July, while imports also slowed, stoking concerns over the outlook for global economic growth.

Investors have viewed recent evidence of a slowdown in global economic growth as increasing the likelihood that world central banks will implement more easing measures to spur the economic recovery.

In the euro zone, official data showed that Greece’s economy contracted less-than-expected in the second quarter.

Greek gross domestic product contracted by 6.2% in the three months to June, less than the 7.0% contraction forecast by economists and slightly less than the 6.5% contraction seen in the first quarter.

Elsewhere, Italy saw borrowing costs rise only slightly after it auctioned EUR8 billion of 12-month government bonds at an average yield of 1.69%, up from 1.55% previously.

The Swissie was little changed against the euro, with EUR/CHF inching up 0.02% to 1.2010.

Trade looked likely to remain subdued on Monday, with no significant economic data releases on the calendar, while volumes were light with many market participants on summer holidays.



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.