Investing.com - The U.S. dollar slipped lower against the Swiss franc on Tuesday, as demand for the greenback remained fragile ahead of the Federal Reserve's highly anticipated policy meeting this week.
USD/CHF hit 0.9253 during European morning trade, the session low; the pair subsequently consolidated at 0.9261, falling 0.15%.
The pair was likely to find support at 0.9190, the low of August 23 and resistance at 0.9342, the high of September 13.
The dollar remained under pressure ahead of the outcome of the Fed’s two-day policy meeting on Wednesday, amid expectations for a small reduction in the bank’s stimulus program.
The greenback weakened broadly on Monday after former U.S. Treasury Secretary Lawrence Summers withdrew from the contest to succeed Ben Bernanke as the next chairman of the U.S. central bank.
Summers’ was perceived as being likely to unwind economic stimulus measures more aggressively than the other main contender for the post, Janet Yellen.
The Swissie was fractionally lower against the euro with EUR/CHF edging up 0.08%, to hit 1.2375.
Also Tuesday, data showed that German economic sentiment improved significantly more-than-expected in September, rising to the highest level since April 2010.
In a report, the ZEW Centre for Economic Research said that its index of German economic sentiment rose by 7.6 points to hit 49.6 in September from August’s reading of 42.0. Analysts had expected the index to rise by 4.0 points to 46.0 this month.
The index of euro zone economic sentiment jumped to 58.6 in September, the highest reading since September 2009 and up from 44.0 in August. Economists had expected euro zone economic sentiment to rise to 47.2 this month.
Later in the day, the U.S. was to release data on consumer price inflation.
USD/CHF hit 0.9253 during European morning trade, the session low; the pair subsequently consolidated at 0.9261, falling 0.15%.
The pair was likely to find support at 0.9190, the low of August 23 and resistance at 0.9342, the high of September 13.
The dollar remained under pressure ahead of the outcome of the Fed’s two-day policy meeting on Wednesday, amid expectations for a small reduction in the bank’s stimulus program.
The greenback weakened broadly on Monday after former U.S. Treasury Secretary Lawrence Summers withdrew from the contest to succeed Ben Bernanke as the next chairman of the U.S. central bank.
Summers’ was perceived as being likely to unwind economic stimulus measures more aggressively than the other main contender for the post, Janet Yellen.
The Swissie was fractionally lower against the euro with EUR/CHF edging up 0.08%, to hit 1.2375.
Also Tuesday, data showed that German economic sentiment improved significantly more-than-expected in September, rising to the highest level since April 2010.
In a report, the ZEW Centre for Economic Research said that its index of German economic sentiment rose by 7.6 points to hit 49.6 in September from August’s reading of 42.0. Analysts had expected the index to rise by 4.0 points to 46.0 this month.
The index of euro zone economic sentiment jumped to 58.6 in September, the highest reading since September 2009 and up from 44.0 in August. Economists had expected euro zone economic sentiment to rise to 47.2 this month.
Later in the day, the U.S. was to release data on consumer price inflation.