Investing.com - The U.S. dollar ended the week higher against the Swiss franc on Friday in part due to heightened expectations that the Federal Reserve could start to tighten monetary policy in the early part of next year.
USD/CHF hit 0.8899, the highest since February 27, before trimming gains to end Friday's session at 0.8866. For the week, the pair gained 0.68%.
The pair was likely to find support at 0.8839, Thursday's low and resistance at 0.8925.
Demand for the dollar continued to be underpinned by expectations that the Federal Reserve could start to hike interest rates as soon as April 2015.
Market sentiment was boosted by indications that China's government is prepared to do more to shore up the cooling economy. China's premier Li Keqiang said Friday his country has policies in place to counter economic volatility. The remarks eased concerns over recent signs of a slowdown in the world's second-largest economy.
Data on Friday showing that U.S. consumer spending rose 0.3% last month after a downwardly revised gain of 0.2% in January also supported the dollar.
A separate report showed that the University of Michigan's consumer sentiment index slipped to 80 in March, down from 81.6 the month before. It was higher than the preliminary March reading of 79.9 but below forecasts of 80.5.
In the week ahead, investors will be looking to Friday's U.S. nonfarm payrolls report for March for further indications on the strength of the labor market. Ahead of the coming week, Investing.com has compiled a list of significant events likely to affect the markets.
Monday, March 31
Switzerland is to publish its KOF economic barometer.
Tuesday, April 1
Switzerland is to release its SVME manufacturing index.
Later Tuesday, the Institute of Supply Management is to publish a report on U.S. manufacturing growth.
Wednesday, April 2
The U.S. is to release the ADP report on private sector job creation, which leads the government's nonfarm payrolls report by two days. The U.S. is also to release data on factory orders.
Thursday, April 3
The U.S. is to publish data on the trade balance, as well as the weekly report on initial jobless claims. Meanwhile, the ISM is to publish a report service sector activity.
Friday, April 4
The U.S. is to round up the week with the closely watched government data on nonfarm payrolls and the unemployment rate.
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