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Forex - USD/CHF jumps on Greek woes, nearing 9-month high

Published 05/04/2010, 06:46 AM
USD/CHF
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CHF/JPY
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Investing.com – The U.S. dollar jumped against the Swiss franc on Tuesday, nearing a 9-month high on fears that Greece's debt crisis could spread to other cash-strapped nations in the euro zone, a key trading partner of Switzerland's.

USD/CHF hit 1.0922 during European late morning trade, close to last Thursday's high of 1.0924, the pair's highest since July 30, 2009. USD/CHF subsequently consolidated around 1.0916, advancing 0.53%.

The pair was likely to find resistance at 1.1022, the high of June 24 last year, and support 1.0669, the low of April 26.

Earlier Tuesday, Reuters quoted a Moody's official as saying that a bailout of Greece was not the end of the country's fiscal crisis, since it still needed to meet the budget deficit targets it had agreed to.

Tom Byrne, a Singapore-based sovereign ratings official at Moody's Investors Service, reportedly said: "You can't say it's a final end because adjustment is very hard for Greece."

The Swissy also slid versus the yen, with CHF/JPY dropping 0.37% to reach 86.75.

Later in the day, the National Association of Realtors, a U.S. industry group, was set to publish a report on pending home sales, a leading indicator of the housing market's health and that of the entire U.S. economy.

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