Investing.com - The U.S. dollar fell to a one-week low against the Swiss franc on Wednesday, as investor confidence was boosted following remarks by Spanish Prime Minister Mariano Rajoy.
USD/CHF hit 0.9282 during European morning trade, the pair’s lowest since October 23; the pair subsequently consolidated at 0.9287, shedding 0.38%.
The pair was likely to find support at 0.9238, the low of October 19 and resistance at 0.9331, the session high.
Market sentiment was boosted after Spain’s prime minister said his country needs the help of the European Union to meet its budget goals, but that EU progress on a banking union would allow leeway on making a formal request for aid.
Speaking in the Spanish Parliament, Mr. Rajoy also said that an agreement on direct bank recapitalization is getting closer and that such an agreement would improve market confidence.
The comments came one day after official data showed that Spain’s economy contracted by 0.3% in the third quarter, less than forecasts for a 0.4% decline.
U.S. markets were preparing to reopen on Wednesday after a two day closure for Hurricane Sandy.
Investors were looking ahead to Chinese manufacturing data on Thursday, as well as Friday’s U.S. nonfarm payrolls report amid concerns over the global economic recovery.
The Swissy was little changed against the euro, with EUR/CHF dipping 0.02% to 1.2078.
Later Wednesday, the U.S. was to produce official data on manufacturing activity in Chicago, as well as a government report on crude oil inventories.
Meanwhile, euro zone finance ministers were to hold a conference call to discuss Greece’s progress on meeting austerity targets, but no decision on when the country will receive the next tranche of its bailout was expected.
USD/CHF hit 0.9282 during European morning trade, the pair’s lowest since October 23; the pair subsequently consolidated at 0.9287, shedding 0.38%.
The pair was likely to find support at 0.9238, the low of October 19 and resistance at 0.9331, the session high.
Market sentiment was boosted after Spain’s prime minister said his country needs the help of the European Union to meet its budget goals, but that EU progress on a banking union would allow leeway on making a formal request for aid.
Speaking in the Spanish Parliament, Mr. Rajoy also said that an agreement on direct bank recapitalization is getting closer and that such an agreement would improve market confidence.
The comments came one day after official data showed that Spain’s economy contracted by 0.3% in the third quarter, less than forecasts for a 0.4% decline.
U.S. markets were preparing to reopen on Wednesday after a two day closure for Hurricane Sandy.
Investors were looking ahead to Chinese manufacturing data on Thursday, as well as Friday’s U.S. nonfarm payrolls report amid concerns over the global economic recovery.
The Swissy was little changed against the euro, with EUR/CHF dipping 0.02% to 1.2078.
Later Wednesday, the U.S. was to produce official data on manufacturing activity in Chicago, as well as a government report on crude oil inventories.
Meanwhile, euro zone finance ministers were to hold a conference call to discuss Greece’s progress on meeting austerity targets, but no decision on when the country will receive the next tranche of its bailout was expected.