Investing.com - The dollar eased back from two-week highs against the Swiss franc on Friday but remained supported as concerns over possible U.S. military strikes against Syria’s government underpinned safe haven demand.
USD/CHF rose to highs of 0.9331, the highest since August 15, before erasing gains to settle at 0.9297, slipping 0.11% for the day and trimming the week’s gains to 0.86%.
The pair is likely to find support at 0.9216, Thursday’s low and resistance at 0.9350.
Expectations for a military intervention mounted after U.S. Secretary of State John Kerry said Friday that the U.S. would punish Syrian President Bashar al-Assad for a "brutal and flagrant" chemical weapons attack that killed nearly 1,500 people in Damascus.
Meanwhile, data on Friday showed that U.S. consumer sentiment was lower in August, pulling back from July’s six-year high. The final reading of the University of Michigan's consumer sentiment index slipped to 82.1 from a final reading of 85.1 in July.
The report came one day after official data showed that U.S. second quarter growth was revised sharply higher, indicating that the economic recovery is on track.
The Commerce Department said gross domestic product expanded at an annual rate of 2.5% in the three months to June, above expectations for growth of 2.2% and up from a preliminary estimate of 1.7%.
The upbeat data reinforced the view that the Federal Reserve could start phasing out stimulus measures as soon as next month.
In the week ahead, markets in the U.S. are to remain closed on Monday for the Labor Day holiday. Investors will be closely watching Friday’s key U.S. nonfarm payrolls report, amid ongoing speculation over when the Fed will start to unwind stimulus measures.
Swiss data on second quarter growth and consumer inflation will also be in focus.
Ahead of the coming week, Investing.com has compiled a list of these and other significant events likely to affect the markets.
Monday, September 2
Switzerland is to publish its SVME PMI, a leading economic indicator.
Markets in the U.S. are to remain closed for the Labor Day holiday.
Tuesday, September 3
Switzerland is to publish data on second quarter gross domestic product, the broadest indicator of economic activity and the leading indicator of economic health.
Later in the day, the Institute of Supply Management is to release data on manufacturing activity in the U.S., a leading indicator of economic health.
Wednesday, September 4
The U.S. is to release data on the trade balance, the difference in value between imports and exports.
Thursday, September 5
The U.S. is to release the ADP nonfarm payrolls report on private sector job creation, as well as the weekly government report on initial jobless claims.
Later Thursday, the ISM is to release data on non-manufacturing activity in the U.S., a leading indicator of economic health.
Friday, September 6
The Swiss National Bank is to release data on foreign currency reserves. This data is closely scrutinized for indications of the size of the bank’s operations in currency markets.
Meanwhile, Switzerland is to produce government data on consumer price inflation, which accounts for a majority of overall inflation.
The U.S. is to round up the week with closely watched government data on nonfarm payrolls and the unemployment rate, as well as data on average hourly earnings.
USD/CHF rose to highs of 0.9331, the highest since August 15, before erasing gains to settle at 0.9297, slipping 0.11% for the day and trimming the week’s gains to 0.86%.
The pair is likely to find support at 0.9216, Thursday’s low and resistance at 0.9350.
Expectations for a military intervention mounted after U.S. Secretary of State John Kerry said Friday that the U.S. would punish Syrian President Bashar al-Assad for a "brutal and flagrant" chemical weapons attack that killed nearly 1,500 people in Damascus.
Meanwhile, data on Friday showed that U.S. consumer sentiment was lower in August, pulling back from July’s six-year high. The final reading of the University of Michigan's consumer sentiment index slipped to 82.1 from a final reading of 85.1 in July.
The report came one day after official data showed that U.S. second quarter growth was revised sharply higher, indicating that the economic recovery is on track.
The Commerce Department said gross domestic product expanded at an annual rate of 2.5% in the three months to June, above expectations for growth of 2.2% and up from a preliminary estimate of 1.7%.
The upbeat data reinforced the view that the Federal Reserve could start phasing out stimulus measures as soon as next month.
In the week ahead, markets in the U.S. are to remain closed on Monday for the Labor Day holiday. Investors will be closely watching Friday’s key U.S. nonfarm payrolls report, amid ongoing speculation over when the Fed will start to unwind stimulus measures.
Swiss data on second quarter growth and consumer inflation will also be in focus.
Ahead of the coming week, Investing.com has compiled a list of these and other significant events likely to affect the markets.
Monday, September 2
Switzerland is to publish its SVME PMI, a leading economic indicator.
Markets in the U.S. are to remain closed for the Labor Day holiday.
Tuesday, September 3
Switzerland is to publish data on second quarter gross domestic product, the broadest indicator of economic activity and the leading indicator of economic health.
Later in the day, the Institute of Supply Management is to release data on manufacturing activity in the U.S., a leading indicator of economic health.
Wednesday, September 4
The U.S. is to release data on the trade balance, the difference in value between imports and exports.
Thursday, September 5
The U.S. is to release the ADP nonfarm payrolls report on private sector job creation, as well as the weekly government report on initial jobless claims.
Later Thursday, the ISM is to release data on non-manufacturing activity in the U.S., a leading indicator of economic health.
Friday, September 6
The Swiss National Bank is to release data on foreign currency reserves. This data is closely scrutinized for indications of the size of the bank’s operations in currency markets.
Meanwhile, Switzerland is to produce government data on consumer price inflation, which accounts for a majority of overall inflation.
The U.S. is to round up the week with closely watched government data on nonfarm payrolls and the unemployment rate, as well as data on average hourly earnings.