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Forex - EUR/CHF hits 1-month low as Libya fears spur flight to safety

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Forex Pros - The euro fell to a one-month low against the Swiss franc on Thursday, as concerns over escalating violence in Libya saw crude oil prices continue to rally and spurred demand for safe haven assets.

EUR/CHF hit 1.2707 during European late morning trade, the pair's lowest since January 13; the pair subsequently consolidated at 1.2745, shedding 62%.

The pair was likely to find support at 1.2579, the low of January 12 and resistance at 1.288, Wednesday's high.

The Swiss franc tracked oil prices higher as fears mounted that the political turmoil in Libya could reduce global supplies.

Earlier, Brent crude oil for April delivery was trading at USD116 a barrel, its highest level since August 2008, while the Nymex April contract was trading at USD102 a barrel, the highest since September 2008.

Major banks warned on Thursday that OPEC needed to act quickly to halt the rally in oil prices if unrest was to spread beyond Libya to other major producing oil nations.

The euro was also down against the yen, with EUR/JPY tumbling 0.78%to hit 112.55.

Later Thursday, the U.S. was to publish government data on durable goods orders and initial jobless claims, as well as a report on new home sales.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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