Investing.com - The U.S. dollar rose to eight-day highs against the Swiss franc on Wednesday, as news Janet Yellen will become the next president of the Federal Reserve lifted the greenback, although sustained U.S. budget concerns weighed.
USD/CHF hit 0.9109 during European morning trade, the pair's highest since September 27; the pair subsequently consolidated at 0.9101, gaining 0.69%.
The pair was likely to find support at 0.8978, the low of October 4 and resistance at 0.9138, the high of September 25.
The greenback strengthened ahead of Ms. Yellen’s nomination amid expectations that under her leadership Fed policy could remain accommodative for some time. If Ms. Yellen’s nomination is confirmed by the Senate, she will succeed Chairman Ben Bernanke, whose term ends January 31.
But investors remained cautious as a partial U.S. government shutdown dragged on into a second week, with few signs of progress towards a resolution ahead of an October 17 deadline to avoid a U.S. sovereign default.
International Monetary Fund Chief Economist Olivier Blanchard said Tuesday that a prolonged failure to raise the U.S. debt ceiling would "almost certainly derail the recovery".
The Swissie was lower against the EUR/CHF rising 0.31%, to hit 1.2306.
Investors were awaiting the release of minutes from the Fed’s September meeting later Wednesday, after the U.S. central bank surprised markets with a decision to keep its stimulus program on track.
USD/CHF hit 0.9109 during European morning trade, the pair's highest since September 27; the pair subsequently consolidated at 0.9101, gaining 0.69%.
The pair was likely to find support at 0.8978, the low of October 4 and resistance at 0.9138, the high of September 25.
The greenback strengthened ahead of Ms. Yellen’s nomination amid expectations that under her leadership Fed policy could remain accommodative for some time. If Ms. Yellen’s nomination is confirmed by the Senate, she will succeed Chairman Ben Bernanke, whose term ends January 31.
But investors remained cautious as a partial U.S. government shutdown dragged on into a second week, with few signs of progress towards a resolution ahead of an October 17 deadline to avoid a U.S. sovereign default.
International Monetary Fund Chief Economist Olivier Blanchard said Tuesday that a prolonged failure to raise the U.S. debt ceiling would "almost certainly derail the recovery".
The Swissie was lower against the EUR/CHF rising 0.31%, to hit 1.2306.
Investors were awaiting the release of minutes from the Fed’s September meeting later Wednesday, after the U.S. central bank surprised markets with a decision to keep its stimulus program on track.