Investing.com - The U.S. dollar extended gains against the Swiss franc on Monday, rising to the session high as concerns over the economic and political outlook for the euro zone supported safe haven demand.
USD/CHF hit 0.9149 during European morning trade, the session high; the pair subsequently consolidated at 0.9139, gaining 0.55%.
The pair was likely to find support at 0.9081, Friday’s low and a two-week low and resistance at 0.9195, last Thursday’s high.
Market sentiment was hit after data showed that the euro zone's manufacturing output slumped to its lowest level since June 2009 this month, while its services sector fell to a five month low.
The decline was driven by poor performances in Germany and France, with manufacturing activity in Germany slowing to the lowest level in almost three years.
The weak data fuelled fears economic growth in the region will be hit by planned government austerity measures.
Sentiment was further hit by fresh concerns over political uncertainty in the euro zone, as investors mulled the implications of the first round of the French presidential election and the failure of Dutch budget talks, which threatened to bring about the collapse of the government.
The Swissie was little changed against the euro, with EUR/CHF dipping 0.01% to hit 1.2015.
Also Monday, data showed that Chinese manufacturing activity remained in contraction territory in April, fuelling concerns over a slowdown in the world’s second largest economy.
USD/CHF hit 0.9149 during European morning trade, the session high; the pair subsequently consolidated at 0.9139, gaining 0.55%.
The pair was likely to find support at 0.9081, Friday’s low and a two-week low and resistance at 0.9195, last Thursday’s high.
Market sentiment was hit after data showed that the euro zone's manufacturing output slumped to its lowest level since June 2009 this month, while its services sector fell to a five month low.
The decline was driven by poor performances in Germany and France, with manufacturing activity in Germany slowing to the lowest level in almost three years.
The weak data fuelled fears economic growth in the region will be hit by planned government austerity measures.
Sentiment was further hit by fresh concerns over political uncertainty in the euro zone, as investors mulled the implications of the first round of the French presidential election and the failure of Dutch budget talks, which threatened to bring about the collapse of the government.
The Swissie was little changed against the euro, with EUR/CHF dipping 0.01% to hit 1.2015.
Also Monday, data showed that Chinese manufacturing activity remained in contraction territory in April, fuelling concerns over a slowdown in the world’s second largest economy.