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Forex - USD/CHF slides to daily low as risk appetite sours

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Forex Pros - The U.S. dollar slipped to a daily low against the Swiss franc on Monday, as the arrest of International Monetary Fund chief Dominique Strauss-Kahn on sexual assault charges added to existing uncertainty about the euro zone debt crisis.

USD/CHF hit 0.8874 during European late morning trade, the daily low; the pair subsequently consolidated at 0.8888, shedding 0.43%.

The pair was likely to find short-term support at 0.8797, Friday's low and resistance at 0.8946, Friday's high and a three-week high.

Euro zone finance ministers were to meet later in the day to discuss further support for Greece which is struggling to meet the terms of a EUR110 billion European Union/IMF bailout last year.

Also on the agenda was the approval of EUR78 billion in aid for Portugal but the situation was complicated by the weekend arrest of Mr. Strauss-Kahn, with analysts concerned about the impact of his absence from the meeting.

The Swissie was also up against the euro, with EUR/CHF shedding 0.45% to hit 1.2545.

Also Monday, the U.S. was to publish official data on manufacturing activity in New York state, while 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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