Investing.com - The U.S. dollar rose to eight-month highs against the Swiss franc on Wednesday, as demand for the greenback remained strong after Tuesday's upbeat U.S. economic reports and as investors awaited upcoming U.S. trade data to be released later in the day.
USD/CHF hit 0.9115 during European afternoon trade, the pair's highest since January; the pair subsequently consolidated at 0.9107, adding 0.18%.
The pair was likely to find support at 0.9112, Tuesday's low and resistance at 0.9156.
The dollar remained supported after data on Tuesday showed that the U.S. service sector expanded at the fastest pace in more than three years in July.
The Institute for Supply Management's services purchasing manager's index rose to 58.7 up from 56.0 in June, beating forecasts and well above the 50 level that signals expansion.
The dollar also strengthened after another report showed that U.S. factory orders rose 1.1% in June, above economists' forecasts of a 0.5% gain.
In Switzerland, official data earlier showed that consumer price inflation fell 0.4% last month, in line with expectations, after a 0.1% downtick in June.
Year-on-year, Swiss CPI was flat in July compared to a year earlier, confounding expectations for a 0.1% fall and following a flat reading the previous month.
The Swissie was little changed against the euro, with EUR/CHF easing 0.07% to 1.2152.
In the euro zone, official data on Wednesday showed that German factory orders dropped 3.2% in June, disappointing expectations for a 1.0% increase. May's figure was revised to a 1.6% fall from a previously estimated 1.7% drop.
Sentiment on the single currency remained vulnerable ahead of the conclusion of the European Central Bank’s monthly monetary policy review on Thursday, amid concerns over the diverging monetary policy stance between the central bank and its major peers.