Investing.com - The U.S. dollar dropped to a one-week low against the Swiss franc on Monday, as risk appetite sharpened on the back of optimism that Greece was moving closer to securing a second bailout.
USD/CHF hit 0.9125 during European morning trade, the pair’s lowest since February 13; the pair subsequently consolidated at 0.9126, falling 0.79%.
The pair was likely to find support at 0.9088, the low of February 9 and a two-month low and resistance at 0.9177, the session high.
Speaking ahead of a meeting of euro zone finance ministers set for later Monday, Greek Finance Minister Evangelos Venizelos said negotiations on the EUR130 billion bailout and a linked debt restructuring deal would continue until the last minute but added that Greece has met all the conditions demanded by its creditors.
“We expect the long period of uncertainty, that benefitted neither the Greek economy nor the euro zone overall, to end today”, Venizelos said.
Without a bailout, Greece faces the threat of defaulting when a EUR14.5 billion bond redemption comes due on March 20.
Risk appetite was also bolstered after China’s central bank announced a decision to cut the reserve requirement ratios of major commercial lenders in an attempt to boost liquidity and spur growth in the world’s second largest economy.
The Swissie was almost unchanged against the euro, with EUR/CHF inching up 0.01% to hit 1.2088.
Trade volumes were expected to remain light throughout the day, as markets in the U.S. were to remain closed for the Presidents Day holiday.
USD/CHF hit 0.9125 during European morning trade, the pair’s lowest since February 13; the pair subsequently consolidated at 0.9126, falling 0.79%.
The pair was likely to find support at 0.9088, the low of February 9 and a two-month low and resistance at 0.9177, the session high.
Speaking ahead of a meeting of euro zone finance ministers set for later Monday, Greek Finance Minister Evangelos Venizelos said negotiations on the EUR130 billion bailout and a linked debt restructuring deal would continue until the last minute but added that Greece has met all the conditions demanded by its creditors.
“We expect the long period of uncertainty, that benefitted neither the Greek economy nor the euro zone overall, to end today”, Venizelos said.
Without a bailout, Greece faces the threat of defaulting when a EUR14.5 billion bond redemption comes due on March 20.
Risk appetite was also bolstered after China’s central bank announced a decision to cut the reserve requirement ratios of major commercial lenders in an attempt to boost liquidity and spur growth in the world’s second largest economy.
The Swissie was almost unchanged against the euro, with EUR/CHF inching up 0.01% to hit 1.2088.
Trade volumes were expected to remain light throughout the day, as markets in the U.S. were to remain closed for the Presidents Day holiday.