Forexpros – The U.S. dollar edged down against the Swiss franc on Wednesday, as speculation that the Federal Reserve will green light new easing measures at its next policy-setting meeting sent the greenback broadly lower.
USD/CHF hit 0.8816 during European morning trade, the daily low; the pair subsequently consolidated at 0.8850, shedding 0.23%.
The pair was likely to find support at 0.8609, the low of October 31 and resistance at 0.8959, the high of November 1.
The dollar came under pressure amid speculation that the Fed could revise down its forecasts for economic growth at the end of its two-day policy-setting meeting later Wednesday.
The greenback had rallied to an eight-day high against the Swissie on Tuesday, after Greece’s prime minister unexpectedly called for a referendum on the country’s recent bailout deal, fueling new concerns over the euro zone’s financial woes.
Greece’s Prime Minister George Papandreou won the backing of his cabinet to hold a referendum on a EUR130 billion bailout package earlier and was due to meet with French and German leaders to discuss the planned vote later in the day.
Elsewhere, the Swissie was lower against the euro with EUR/CHF advancing 0.15%, to hit 1.2175.
Later in the day, the U.S. was to release private sector data on non-farm payrolls. Meanwhile, the Federal Reserve was to hold its policy-setting meeting; Fed Chairman Ben Bernanke was to conduct the bank’s post-policy meeting press conference.
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