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Forex - USD/CHF down as Greek emergency loan delay weighs

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Forex Pros - The U.S. dollar edged lower against the Swiss franc on Monday, as a delay by euro zone finance ministers on a final decision over emergency loans for Greece bolstered safe haven demand.

USD/CHF hit 0.8454 during European morning trade, the daily low; the pair subsequently consolidated at 0.8462, slipping 0.23%.

The pair was likely to find support at 0.8325, the low of June 7 and the pair's all-time low and resistance at 0.8550, the high of June 15 and an almost three-week high.

Finance ministers from the 17-nation euro zone met Sunday and said that a new financing strategy for Greece will be decided by early July and would be dependent on the Greek parliament passing unpopular new economic reforms.

"I cannot imagine for one second that we would commit to finance Greece without knowing that the Greek Parliament has given a vote of confidence to the Greek government," Eurogroup head, Jean-Claude Juncker said.

Earlier Monday, the cost of insuring Greek sovereign debt against default surged to almost touch the euro-lifetime high hit on Friday, adding to contagion fears in the single currency bloc.

The Swissie was sharply higher against the euro, with EUR/CHF tumbling 0.74% to hit 1.2052.

Late last week, the Swiss National Bank left its benchmark interest rate unchanged, as bank President Philipp Hildebrand said that policy makers were "concerned" about the strength of the franc.

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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.

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