Investing.com - The U.S. dollar advanced to a three-week high against the Swiss franc on Thursday, as a combination of concerns over a delay to a second bailout for Greece and the threat of further downgrades for European banks saw investors seek the relative safety of the greenback.
USD/CHF hit 0.9297 during European morning trade, the pair’s highest since January 25; the pair subsequently consolidated at 0.9285, gaining 0.54%.
The pair was likely to find support at 0.9154, Wednesday’s low and resistance at 0.9377, the high of January 23.
A teleconference of euro zone finance ministers on Wednesday failed to reach a decision on Greece's new bailout and private-debt restructuring issues.
Following the talks, Eurogroup President Jean Claude Juncker said he was confident that finance ministers will make a final decision at a meeting in Brussels on Monday.
European Union officials are believed to be looking at delaying all or part of Greece's bailout until after a general election in the country, which is expected to take place in April.
Officials are examining the possibility of extending a bridging loan to Athens, which would allow Greece to meet EUR14.4 billion in repayments which come due on March 20, avoiding a default.
Risk appetite was also hit after ratings agency Moody's warned that it may cut the credit ratings of 114 banks in 16 countries across Europe, citing banks' vulnerability to the sovereign debt crisis in the euro zone.
Meanwhile, the greenback remained supported after the minutes of the Federal Reserve’s January policy meeting showed that policymakers were still divided about whether to launch fresh easing measures to shore up growth, but were still actively considering such a move.
The Swissie was steady against the euro, with EUR/CHF inching up 0.01% to hit 1.2068.
Later in the day, the U.S. was to publish official data on building permits and housing starts, as well as reports on producer price inflation and unemployment claims. In addition, Fed Chairman Ben Bernanke was due to speak.
USD/CHF hit 0.9297 during European morning trade, the pair’s highest since January 25; the pair subsequently consolidated at 0.9285, gaining 0.54%.
The pair was likely to find support at 0.9154, Wednesday’s low and resistance at 0.9377, the high of January 23.
A teleconference of euro zone finance ministers on Wednesday failed to reach a decision on Greece's new bailout and private-debt restructuring issues.
Following the talks, Eurogroup President Jean Claude Juncker said he was confident that finance ministers will make a final decision at a meeting in Brussels on Monday.
European Union officials are believed to be looking at delaying all or part of Greece's bailout until after a general election in the country, which is expected to take place in April.
Officials are examining the possibility of extending a bridging loan to Athens, which would allow Greece to meet EUR14.4 billion in repayments which come due on March 20, avoiding a default.
Risk appetite was also hit after ratings agency Moody's warned that it may cut the credit ratings of 114 banks in 16 countries across Europe, citing banks' vulnerability to the sovereign debt crisis in the euro zone.
Meanwhile, the greenback remained supported after the minutes of the Federal Reserve’s January policy meeting showed that policymakers were still divided about whether to launch fresh easing measures to shore up growth, but were still actively considering such a move.
The Swissie was steady against the euro, with EUR/CHF inching up 0.01% to hit 1.2068.
Later in the day, the U.S. was to publish official data on building permits and housing starts, as well as reports on producer price inflation and unemployment claims. In addition, Fed Chairman Ben Bernanke was due to speak.