Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Forex - USD/CHF steady ahead of Franco-German talks

Published 12/05/2011, 04:27 AM
USD/CHF
-
EUR/CHF
-
Investing.com - The U.S. dollar was almost unchanged against the Swiss franc on Monday, as investors eyed key talks between French and German leaders on a possible fiscal pact ahead of this week’s European Union summit.

USD/CHF hit 0.9233 during European morning trade, the daily high; the pair subsequently consolidated at 0.9218, easing up 0.04%.

The pair was likely to find support at 0.9065, the low of November 30 and resistance at 0.9329, the high of November 25.

French President Nicolas Sarkozy and German Chancellor Angela Merkel were to meet later Monday, to outline joint proposals for more coercive budget discipline in the euro zone, which they plan to present at Friday's EU summit.

An agreement could pave the way for an accelerated implementation of the euro zone's rescue plan to help debt-ridden countries receive funds while encouraging bondholders to buy euro zone bonds.

Market sentiment also strengthened after Italy unveiled new austerity steps, and amid expectations Ireland will do the same in a new budget to be announced later in the day.

On Sunday, Italian Prime Minister Mario Monti presented a EUR30 billion package, raising taxes and increasing the pension age in a drive to shore up the country’s strained finances.

Meanwhile, the Swissie was down against the euro With EUR/CHF climbing 0.42%, to hit 1.2391.

Later in the day, the U.S. Institute of Supply Management was to release a report on service sector activity. The U.S. was also to publish government data on factory orders.

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.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.