Investing.com - The U.S. dollar rallied to a seven-day high against the Swiss franc on Tuesday, as concerns over the latest plan to tackle the debt crisis in the euro zone boosted demand for the safe haven greenback.
USD/CHF hit 0.8906 during European morning trade, the pair's highest since October 21; the pair subsequently consolidated at 0.8908, jumping 1.58%.
The pair was likely to find short-term support at 0.8728, the low of October 26 and resistance at 0.9037, the high of October 19.
Risk sentiment was weakened by uncertainty over how the package of anti-crisis measures agreed on at last Thursday’s European Union summit could be implemented.
Meanwhile, reports that Greek Prime Minister George Papandreou has called a referendum on the new aid package as well as surging Italian borrowing costs added to concerns.
In Switzerland, data showed that the SVME purchasing managers' index declined more-than-expected in October, contracting for the second successive month, as the slowing global recovery weighed on the sector, which has already been hit by the strong franc.
The SVME PMI fell to 46.9 from 48.2 in September, surpassing expectations for a decline to 47.8.
Elsewhere, the Swissie was down against the euro with EUR/CHF rising 0.33%, to hit 1.2194.
Later in the day, the Institute of Supply Management is to produce a report on U.S. manufacturing activity.
USD/CHF hit 0.8906 during European morning trade, the pair's highest since October 21; the pair subsequently consolidated at 0.8908, jumping 1.58%.
The pair was likely to find short-term support at 0.8728, the low of October 26 and resistance at 0.9037, the high of October 19.
Risk sentiment was weakened by uncertainty over how the package of anti-crisis measures agreed on at last Thursday’s European Union summit could be implemented.
Meanwhile, reports that Greek Prime Minister George Papandreou has called a referendum on the new aid package as well as surging Italian borrowing costs added to concerns.
In Switzerland, data showed that the SVME purchasing managers' index declined more-than-expected in October, contracting for the second successive month, as the slowing global recovery weighed on the sector, which has already been hit by the strong franc.
The SVME PMI fell to 46.9 from 48.2 in September, surpassing expectations for a decline to 47.8.
Elsewhere, the Swissie was down against the euro with EUR/CHF rising 0.33%, to hit 1.2194.
Later in the day, the Institute of Supply Management is to produce a report on U.S. manufacturing activity.