Investing.com -The U.S. dollar was almost unchanged against the Swiss franc on Thursday, as investors remained cautious amid expectations that the European Central Bank would unveil measures to help stabilize the region’s sovereign debt markets later in the day.
USD/CHF hit during European morning trade, the session low; the pair subsequently consolidated at 0.9554, dipping 0.01%.
The pair was likely to find support at 0.9501, the low of August 31 and a nine-week low and resistance at 0.9607, Wednesday’s high.
Market sentiment has been underpinned in recent weeks by expectations that the ECB is set to announce more details of a bond purchasing plan to help lower Spanish and Italian borrowing costs at its post-policy meeting press conference later in the day.
Speculation mounted on Wednesday, after Bloomberg reported that the ECB is planning unlimited purchases of government bonds with maturities of up to three years, without setting bond yield targets.
France saw bond yields fall at an auction of five- and 10-year government bonds on Thursday, while Spain also saw borrowing costs decline at an auction of two-, three- and four-year government bonds.
But sentiment remained fragile amid fears over possible disappointment when the details of the bank’s plan are revealed.
The Swissie was fractionally lower against the euro, with EUR/CHF inching up 0.07% to 1.2049.
The U.S. was to release a report on ADP non-farm payrolls later in the session, followed by weekly government data on unemployment claims. The country was also to release a report by the Institute for Supply Management on service sector activity.
USD/CHF hit during European morning trade, the session low; the pair subsequently consolidated at 0.9554, dipping 0.01%.
The pair was likely to find support at 0.9501, the low of August 31 and a nine-week low and resistance at 0.9607, Wednesday’s high.
Market sentiment has been underpinned in recent weeks by expectations that the ECB is set to announce more details of a bond purchasing plan to help lower Spanish and Italian borrowing costs at its post-policy meeting press conference later in the day.
Speculation mounted on Wednesday, after Bloomberg reported that the ECB is planning unlimited purchases of government bonds with maturities of up to three years, without setting bond yield targets.
France saw bond yields fall at an auction of five- and 10-year government bonds on Thursday, while Spain also saw borrowing costs decline at an auction of two-, three- and four-year government bonds.
But sentiment remained fragile amid fears over possible disappointment when the details of the bank’s plan are revealed.
The Swissie was fractionally lower against the euro, with EUR/CHF inching up 0.07% to 1.2049.
The U.S. was to release a report on ADP non-farm payrolls later in the session, followed by weekly government data on unemployment claims. The country was also to release a report by the Institute for Supply Management on service sector activity.