Investing.com - The U.S. dollar fell to a two-day low against the Swiss franc on Tuesday, as market sentiment firmed up after data showed that China’s economy grew at a faster-than-forecast pace in the fourth quarter of 2011.
USD/CHF hit 0.9468 during European morning trade, the pair’s lowest since Friday; the pair subsequently consolidated at 0.9470, shedding 0.73%.
The pair was likely to find support at 0.9406, Friday’s low and resistance at 0.9573, the session high and an almost 11-month high.
Official data earlier showed that Chinese gross domestic product grew at an annualized rate of 8.9% in the fourth quarter, down from the previous quarter’s 9.1% growth, but slightly better than expectations for an 8.8% increase.
But investors remained jittery as uncertainty over the debt crisis in the euro zone continued after Standard & Poor’s downgraded the triple-A rating of the euro zone’s bailout fund by one notch on Monday, after Friday’s downgrade of nine euro zone sovereigns, including France.
Meanwhile, talks aimed at negotiating a restructuring of Greece’s debts remained deadlocked, amid disagreements over a bond swap with private creditors.
The Swissie was almost unchanged against the euro, with EUR/CHF inching up 0.03% to hit 1.2090.
Later in the day, the euro zone was to produce a report on the German ZEW economic sentiment index, as well as official data on consumer price inflation.
Also Tuesday, the U.S. was to produce a report on manufacturing activity in New York State.
USD/CHF hit 0.9468 during European morning trade, the pair’s lowest since Friday; the pair subsequently consolidated at 0.9470, shedding 0.73%.
The pair was likely to find support at 0.9406, Friday’s low and resistance at 0.9573, the session high and an almost 11-month high.
Official data earlier showed that Chinese gross domestic product grew at an annualized rate of 8.9% in the fourth quarter, down from the previous quarter’s 9.1% growth, but slightly better than expectations for an 8.8% increase.
But investors remained jittery as uncertainty over the debt crisis in the euro zone continued after Standard & Poor’s downgraded the triple-A rating of the euro zone’s bailout fund by one notch on Monday, after Friday’s downgrade of nine euro zone sovereigns, including France.
Meanwhile, talks aimed at negotiating a restructuring of Greece’s debts remained deadlocked, amid disagreements over a bond swap with private creditors.
The Swissie was almost unchanged against the euro, with EUR/CHF inching up 0.03% to hit 1.2090.
Later in the day, the euro zone was to produce a report on the German ZEW economic sentiment index, as well as official data on consumer price inflation.
Also Tuesday, the U.S. was to produce a report on manufacturing activity in New York State.