Investing.com – The U.S. dollar was down against the Swiss franc on Thursday, dropping to a 2-day low as the dollar’s recent rally ebbed after worse-than-expected U.S. inflation data bolstered the Federal Reserve’s case for economic stimulus.
USD/CHF hit 0.9870 during late Asian trade, the pair’s lowest since Tuesday; the pair subsequently consolidated at 0.9894, shedding 0.15%.
The pair was likely to find support at 0.9722, the low of November 11 and resistance at 0.9974, Wednesday’s high.
Earlier in the day, official data showed that Switzerland’s trade surplus increased unexpectedly in October.
The Federal Statistics Office said that Switzerland's trade balance showed a surplus of CHF2.1 billion in October after increasing to a downwardly revised CHF1.68 billion in September. Analysts had expected the trade balance surplus to fall to CHF1.54 billion in October.
Exports increased at an annualized rate of 6.8% in October, down from 7.4% September, while imports rose at a slower pace of 5.5%, following a 10.5% rise in the previous month.
Meanwhile, the Swissy was down against the euro, with EUR/CHF gaining 0.25% to hit 1.3444.
On Wednesday, official U.S. data showed that core consumer price inflation, which excludes food and energy costs, was unexpectedly flat in October for the second successive month, while consumer prices rose less-than-expected. Also, the annual underlying inflation rate hit 0.6%, the lowest level since records began in 1957.
USD/CHF hit 0.9870 during late Asian trade, the pair’s lowest since Tuesday; the pair subsequently consolidated at 0.9894, shedding 0.15%.
The pair was likely to find support at 0.9722, the low of November 11 and resistance at 0.9974, Wednesday’s high.
Earlier in the day, official data showed that Switzerland’s trade surplus increased unexpectedly in October.
The Federal Statistics Office said that Switzerland's trade balance showed a surplus of CHF2.1 billion in October after increasing to a downwardly revised CHF1.68 billion in September. Analysts had expected the trade balance surplus to fall to CHF1.54 billion in October.
Exports increased at an annualized rate of 6.8% in October, down from 7.4% September, while imports rose at a slower pace of 5.5%, following a 10.5% rise in the previous month.
Meanwhile, the Swissy was down against the euro, with EUR/CHF gaining 0.25% to hit 1.3444.
On Wednesday, official U.S. data showed that core consumer price inflation, which excludes food and energy costs, was unexpectedly flat in October for the second successive month, while consumer prices rose less-than-expected. Also, the annual underlying inflation rate hit 0.6%, the lowest level since records began in 1957.