Forex Pros – The U.S. dollar edged up against the Swiss franc on Tuesday, but gains were limited amid ongoing concerns over possible euro zone sovereign debt restructuring.
USD/CHF hit 0.8883 during European morning trade, the daily high; the pair subsequently consolidated at 0.8864, rising 0.28%.
The pair was likely to find short-term support at 0.8798, Monday’s low and resistance at 0.8946, last Friday’s high and a three-week high.
Market sentiment improved after European Union finance ministers endorsed a EUR78 billion bailout for Portugal on Monday and for the first time floated the idea of talks with bondholders over extending Greece’s debt-repayment schedule.
Finance ministers were to continue their talks later in the day, but the meetings were overshadowed by the arrest of International Monetary Fund head Dominique Strauss-Kahn over the weekend in New York, on charges of sexual assault.
The Swissie was also lower against the euro, with EUR/CHF rising 0.48% to hit 1.2581.
Later in the day, the U.S. was to publish official data on building permits and housing starts. The country was also to publish government data on the capacity utilization rate and industrial production.
ForexPros.com
