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Forex - USD/CHF higher in risk-off trade

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Investing.com - The U.S. dollar was higher against the Swiss franc on Thursday, as market sentiment weakened ahead of a highly anticipated policy statement by the European Central Bank.

USD/CHF hit 0.9512 during European morning trade, the session high; the pair subsequently consolidated at 0.9506, climbing 0.57%.

The pair was likely to find support at 0.9444, the session low and resistance at 0.9548, the high of March 28.

The ECB was not widely expected to announce any changes to monetary policy on Thursday.

But investors remained wary ahead of comments from President Mario Draghi at the bank's post-policy meeting press conference amid concerns over the deteriorating economic outlook for the currency bloc and worries over the possible implications of the bailout deal for Cyprus.

Markets were also jittery after Spain saw borrowing costs inch higher at an auction of three- and five-year government bonds, as traders continued to monitor steps in handling the euro zone's ongoing debt crisis.

The Swissie was lower against the euro with EUR/CHF adding 0.16%, to hit 1.2163.

Also Thursday, Markit said the euro zone's services purchasing managers' index fell to 46.4 in March from a reading of 46.5 the previous month, compared to expectations for the index to remain unchanged.

Later in the day, the U.S. was to release government data on initial jobless claims and Federal Reserve Chairman Ben Bernanke was to speak.

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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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