Forex Pros – The U.S. dollar slipped to a three-day low against the Swiss franc on Wednesday, as concerns over radioactive contamination in Japan and escalating unrest in the Middle East spurred increased demand for safe haven assets.
USD/CHF hit 08980 during European late morning trade, the pair’s lowest since Friday; the pair subsequently consolidated at 0.9009, shedding 0.25%.
The pair was likely to find support at 0.8895, the low of March 16 and the pair’s all-time low and resistance at 0.9089, the high of March 18.
Earlier in the day, the Tokyo metropolitan government advised families against allowing infants to drink tap water after higher-than-permitted levels of radioactive iodine were detected.
Elsewhere, unrest in the Middle East continued to escalate after Syrian troops opened fire on protesters and Yemen’s president warned that the country would slip into civil war if he was forced to resign.
The Swissie was also higher against the euro, with EUR/CHF shedding 0.47% to hit 1.2766.
Also Wednesday, the fate of Portugal’s government was hanging in the balance after the country’s Prime Minister threatened to resign if a vote on fresh austerity measures failed to pass, fanning fears that the country was moving closer to taking a financial bailout.
ForexPros.com
