Investing.com - The U.S. dollar was steady against the Swiss franc on Monday, as the possibility for future stimulus measures by the Federal Reserve continued to weigh on the greenback, while comments by Swiss National Bank President Thomas Jordan pressured the Swiss franc.
USD/CHF hit 0.9542 during European early afternoon trade, the daily low; the pair subsequently consolidated at 0.9548, easing 0.02%.
The pair was likely to find support at 0.9501, the low of August 31 and resistance at 0.9634, the high of August 28.
The greenback remained under pressure after Fed Chairman Ben Bernanke said on Friday that the bank would act as needed to strengthen the U.S. economic recovery, but he stopped short of indicating that a fresh round of stimulus is imminent.
Speaking at the Fed’s annual symposium in Jackson Hole, Wyoming, Bernanke said the persistently high rate of unemployment was a “grave concern” and added that the bank’s easing program had been effective in providing “meaningful support" to the recovery.
Meanwhile, market sentiment was hit by fresh concerns over China’s outlook for growth, after data earlier showed that manufacturing activity in the world’s second largest economy contracted in August.
Separately, revised data showed that the euro zone’s manufacturing sector contracted for the 13th month in a row in August.
In Switzerland, the manufacturing purchasing managers’ index fell to 46.7 in August from 48.6 the previous month, compared to expectations for a reading of 49.0.
A separate report showed that that retail sales rose less-than-expected in July, ticking up at an annualized rate of 3.2% after a revised 3.3% rise, disappointing expectations for a 4.3% increase.
The data came after SNB President Jordan reiterated his commitment to defend the franc ceiling, saying that “in the current situation, a further appreciation of the Swiss franc would constitute a very substantial threat to the Swiss economy, and would carry with it the risk of deflationary developments”.
Elsewhere, the Swissie was flat against the euro with EUR/CHF trading at 1.2008.
Trade looked likely to remain subdued on Monday, with no significant economic data releases on the calendar, while markets in the U.S. were to remain closed for the Labor Day holiday.
USD/CHF hit 0.9542 during European early afternoon trade, the daily low; the pair subsequently consolidated at 0.9548, easing 0.02%.
The pair was likely to find support at 0.9501, the low of August 31 and resistance at 0.9634, the high of August 28.
The greenback remained under pressure after Fed Chairman Ben Bernanke said on Friday that the bank would act as needed to strengthen the U.S. economic recovery, but he stopped short of indicating that a fresh round of stimulus is imminent.
Speaking at the Fed’s annual symposium in Jackson Hole, Wyoming, Bernanke said the persistently high rate of unemployment was a “grave concern” and added that the bank’s easing program had been effective in providing “meaningful support" to the recovery.
Meanwhile, market sentiment was hit by fresh concerns over China’s outlook for growth, after data earlier showed that manufacturing activity in the world’s second largest economy contracted in August.
Separately, revised data showed that the euro zone’s manufacturing sector contracted for the 13th month in a row in August.
In Switzerland, the manufacturing purchasing managers’ index fell to 46.7 in August from 48.6 the previous month, compared to expectations for a reading of 49.0.
A separate report showed that that retail sales rose less-than-expected in July, ticking up at an annualized rate of 3.2% after a revised 3.3% rise, disappointing expectations for a 4.3% increase.
The data came after SNB President Jordan reiterated his commitment to defend the franc ceiling, saying that “in the current situation, a further appreciation of the Swiss franc would constitute a very substantial threat to the Swiss economy, and would carry with it the risk of deflationary developments”.
Elsewhere, the Swissie was flat against the euro with EUR/CHF trading at 1.2008.
Trade looked likely to remain subdued on Monday, with no significant economic data releases on the calendar, while markets in the U.S. were to remain closed for the Labor Day holiday.