Forex - USD/CHF slides amid Greece vote uncertainty

Published 11/03/2011, 07:14 AM
USD/CHF
-
EUR/CHF
-
Investing.com – The U.S. dollar was lower against the Swiss franc on Thursday, as dissent within the Greek government cast doubts over whether a planned referendum on the country’s new bailout deal would go ahead.

USD/CHF hit 0.8799 during European morning trade, the session low; the pair subsequently consolidated at 0.8808, slipping 0.36%.

The pair was likely to find support at 0.8609, Monday’s low and resistance at 0.8904, Wednesday’s high.

Market sentiment staged a modest recovery earlier after European officials said that the single currency bloc will survive, even if Greece's controversial referendum results in a call to exit the euro zone.

Earlier in the day, Greek Finance Minister Evangelos Venizelos said he was opposed to the planned referendum.

Meanwhile, speculation that the referendum could be cancelled mounted, ahead of a vote of confidence in Prime Minister George Papandreou’s government on Friday.

In the U.S., Federal Reserve Chairman Ben Bernanke said Wednesday that “economic growth strengthened somewhat in the third quarter,” but also warned that “significant downside risks” remain to the outlook.

Speaking at the central bank’s post policy meeting press conference, Bernanke said that economic growth was “frustratingly slow” and “very unsatisfactory.” He added that additional round of asset purchases, specifically mortgage-backed securities, was a “viable option

The Swissie was fractionally higher against the euro, with EUR/CHF dipping 0.08% to hit 1.2142.

Later in the day, the European Central Bank was to hold its first policy setting meeting chaired by new head, Mario Draghi. Meanwhile, the U.S. was to produce its weekly report on initial jobless claims as well as a report on service sector activity from the Institute of Supply Management.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.