Investing.com – The U.S. dollar erased losses against the Swiss franc on Wednesday, easing off a record low but gains were limited ahead of the conclusion of a key Federal Reserve policy setting meeting later in the day.
USD/CHF clawed back up from 0.8669, the pair’s all-time low, to hit 0.8758 during European late morning trade, easing up 0.08%.
The pair was likely to find short-term support at 0.8669, the record low and resistance at 0.8857, Tuesday’s high.
The Fed was expected offer no indication of an immediate plan to tighten the bank's policy but it was expected to stick to its plan to complete its USD600 billion quantitative easing program in June. The meeting was to be followed by the first-ever post-meeting press conference by Federal Reserve Chairman Ben Bernanke.
The Swiss franc has risen to record highs against the dollar and the euro in recent months, fuelled by expectations for policy tightening by the Swiss National Bank as low unemployment, rising house prices and robust consumer spending have kept the recovery on track.
However, Swiss exporters have been hit by the strong franc and the central bank has so far held off on hiking interest rates.
The Swissie was also down against the euro, with EUR/CHF rising 0.27% to hit 1.2849.
Later Wednesday, the U.S. was to publish official data on durable goods orders, while the Federal Reserve was to announce its federal funds rate.
USD/CHF clawed back up from 0.8669, the pair’s all-time low, to hit 0.8758 during European late morning trade, easing up 0.08%.
The pair was likely to find short-term support at 0.8669, the record low and resistance at 0.8857, Tuesday’s high.
The Fed was expected offer no indication of an immediate plan to tighten the bank's policy but it was expected to stick to its plan to complete its USD600 billion quantitative easing program in June. The meeting was to be followed by the first-ever post-meeting press conference by Federal Reserve Chairman Ben Bernanke.
The Swiss franc has risen to record highs against the dollar and the euro in recent months, fuelled by expectations for policy tightening by the Swiss National Bank as low unemployment, rising house prices and robust consumer spending have kept the recovery on track.
However, Swiss exporters have been hit by the strong franc and the central bank has so far held off on hiking interest rates.
The Swissie was also down against the euro, with EUR/CHF rising 0.27% to hit 1.2849.
Later Wednesday, the U.S. was to publish official data on durable goods orders, while the Federal Reserve was to announce its federal funds rate.