By FXEmpire.com
USD/CHF Fundamental Analysis March, 2012, Forecast
Analysis and Recommendations:
The USD/CHF trading at 0.9034 as markets closed. The pair hit a high of 0.9052. The USD made slight headway against most of its trading partners regaining some of yesterday’s losses.
As investors took the time to interpret Fed Chief Bernanke’s comments, the USD picked up some momentum and was able to maintain its gains even after two under forecast reports today.
Home prices in the U.S. fell for the fifth month in a row in January to the lowest level since early 2003, a closely followed index showed on Tuesday. The S&P/Case-Shiller 20-city composite index fell 0.8%.
A gauge of U.S. consumer confidence declined in March due to lower employment expectations, while views on the present situation rose to the highest level since 2008, the Conference Board reported Tuesday. The consumer-confidence gauge fell to 70.2 in March from a February reading of 71.6. A prior estimate had pegged February’s confidence level at 70.8.
There was little support for the Franc today, as there was not much in the way of news or economic reports throughout Europe and the only directly related report was the Consumption Indicator which registered at 0.87 after report 0.93 in the last report.
The dollar is expected to maintain momentum during Wednesday trading session.
Economic Data for March 27, 2012 actual v. forecast
|
Mar. 27 |
JPY |
CSPI (YoY) |
-0.6% |
-0.4% |
-0.4% |
|
|
CHF |
Consumption Indicator |
0.87 |
0.93 |
|||
|
EUR |
German Import Price Index (MoM) |
1.0% |
1.0% |
1.3% |
||
|
EUR |
GfK German Consumer Climate |
5.9 |
6.2 |
6.0 |
||
|
EUR |
French Consumer Confidence |
87 |
83 |
82 |
||
|
EUR |
Netherlands GDP (YoY) |
-0.6% |
-0.7% |
-0.7% |
||
|
HKD |
Hong Kong Trade Balance |
-45.8B |
-15.0B |
-8.9B |
||
|
EUR |
Italian 2-Year CTZ Auction |
2.352% |
3.013% |
|||
|
GBP |
CBI Distributive Trades Survey |
0 |
-4 |
-2 |
||
|
TRY |
Turkish Interest Rate Decision |
5.75% |
5.75% |
5.75% |
||
|
HUF |
Hungarian Interest Rate Decision |
7.00% |
7.00% |
7.00% |
||
|
USD |
S&P/CS Home Price Indices Composite – 20 (YoY) |
-3.8% |
-3.8% |
-4.1% |
||
|
USD |
CB Consumer Confidence |
70.2 |
70.3 |
71.6 |
||
|
USD |
Richmond Manufacturing Index |
7 |
18 |
20 |
||
Economic Events March 28, 2012 Europe and America
06:30 EUR French GDP (QoQ) 0.2% 0.2%
Gross Domestic Product (GDP) measures the annualized change in the inflation-adjusted value of all goods and services produced by the economy. It is the broadest measure of economic activity and the primary indicator of the economy’s health.
09:30 GBP Business Investment (QoQ) -5.4% -5.6%
Business Investment measures the change in the total inflation-adjusted value of capital expenditure made by companies in the private sector.
09:30 GBP Current Account -8.4B -15.2B
The Current Account index measures the difference in value between exported and imported goods, services and interest payments during the reported month. The goods portion is the same as the monthly Trade Balance figure. Because foreigners must buy the domestic currency to pay for the nation’s exports the data can have a sizable affect on the GBP.
09:30 GBP GDP (QoQ) -0.2% -0.2%
Gross Domestic Product (GDP) measures the annualized change in the inflation-adjusted value of all goods and services produced by the economy. It is the broadest measure of economic activity and the primary indicator of the economy’s health.
T.B.D. EUR German CPI (MoM) 0.3% 0.7%
The German Consumer Price Index (CPI) measures the changes in the price of goods and services purchased by consumers.
13:30 USD Core Durable Goods Orders (MoM) 1.5% -3.0%
13:30 USD Durable Goods Orders (MoM) 3.0% -3.7%
Core Durable Goods Orders measures the change in the total value of new orders for long lasting manufactured goods, excluding transportation items. Because aircraft orders are very volatile, the core number gives a better gauge of ordering trends. A higher reading indicates increased manufacturing activity. Durable Goods Orders measures the change in the total value of new orders for long lasting manufactured goods, including transportation items.
Government Bond Auctions (this week)
Mar 28 09:10 Italy BOT auction
Mar 28 17:00 US Auctions 3Y Notes
Mar 29 09:10 Italy BTP/CCTeu auction
Mar 29 17:00 US Auctions 7Y Notes
Originally posted here
