Forexpros - The Swiss franc strengthened against the U.S. dollar on Friday, as fears over the outlook for global economic growth and concerns over the sovereign debt crisis in the euro zone saw investors flee into traditional safe haven assets.
USD/CHF hit 0.7806 on Friday, the pair's lowest since August 16; the pair subsequently consolidated at 0.7846 by close of trade on Friday, almost unchanged on the week.
The pair is likely to find support at 0.7547, the low of August 12 and resistance at 0.8016, the high of August 17.
On Wednesday the Swiss National Bank announced fresh measures to curb the franc's gains. The SNB said it would boost liquidity by expanding sight deposits to 200 billion francs from 120 billion, reiterating it would take additional steps if needed.
The announcement disappointed investors who bet on more aggressive action such as a franc exchange rate peg to the euro.
Meanwhile, the euro weakened against the Swiss franc even as the European Central Bank continued buying government bonds to keep the region's sovereign debt crisis from spreading and European Union officials stepped up efforts to deal with the debt crisis.
On Tuesday, German Chancellor Angela Merkel and French President Nicolas Sarkozy proposed tighter policy coordination between euro zone member states, in an attempt to reassure markets about the cohesion and survival of the single currency bloc.
Looking ahead, investors will be focusing on whether Federal Reserve Chairman Ben Bernanke will drop any hints about such further monetary easing measures when he speaks at an economic symposium in Jackson Hole, Wyoming, on Friday.
Ahead of the coming week, Forex Pros has compiled a list of these and other significant events likely to affect the markets.
Monday, August 22
The U.S. is to publish data on mortgage delinquencies, a sign of health in the housing market.
Tuesday, August 23
Switzerland is to publish official data on its trade balance, the difference in value between imported and exported goods and services.
Also Tuesday, the U.S. is to release official data on new home sales, a leading indicator of economic health.
Wednesday, August 24
The U.S. is to publish government data on durable goods orders, a leading indicator of production. The country is also to publish data on crude oil inventories.
Thursday, August 25
Switzerland is to produce official data on the employment level, while the ZEW Centre for Economic Research is to release a report on Swiss economic expectations.
Later in the day, the U.S. is to publish government data on initial jobless claims, a leading indicator of economic health. Meanwhile, the annual economic symposium in Jackson Hole, Wyoming is to begin.
Friday, August 26
Switzerland is to publish its KOF economic barometer, an index of leading economic indicators.
The U.S. is to publish preliminary data on gross domestic product, the broadest measure of economic activity and the primary gauge of the economy's health. In addition, the University of Michigan is to release revised data on consumer sentiment and inflation expectations.
Also Friday, Fed Chair Ben Bernanke is to speak at the second day of the economic symposium in Jackson Hole.
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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