Breaking News
Investing Pro 0
🚨 Our Pro Data Reveals the True Winner of Earnings Season Access Data

Is Swiss Franc Headed To U.S. Dollar Parity?

By MarketPulse (Kenny Fisher)CurrenciesOct 28, 2022 10:10AM ET
www.investing.com/analysis/is-the-swiss-franc-headed-to-parity-with-the-us-dollar-200631662
Is Swiss Franc Headed To U.S. Dollar Parity?
By MarketPulse (Kenny Fisher)   |  Oct 28, 2022 10:10AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
 
USD/CHF
+1.45%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

The Swiss franc is in negative territory for a second straight day. In the European session, USD/CHF is trading at 0.9975, up an impressive 0.69% on the day.

Swissie Weakens On KOF Barometer

The KOF Economic Barometer decreased in October to 90.9, down from 92.3 in September. This marked the sixth successive month that the index has been below the long-term average of 100. The primary driver of the downturn was manufacturing, which has been hurt by sluggish global demand. The economic outlook for the Swiss economy remains gloomy.

Despite weak risk appetite on the global scene, the safe-haven Swissie has been unable to capitalize and attract nervous investors. USD/CHF has been on a steady upswing since mid-September and briefly pushed above the symbolic parity line on October 21st.

We’ll get a look at Switzerland’s inflation report next week. Inflation has been rising in Switzerland, which forced the Swiss National Bank to raise interest rates by a massive 0.75% in September. This raised the cash rate to 0.50%, ending the era of negative rates. Still, inflation is much lower than in the Eurozone or the UK. Headline CPI is expected to tick lower to 3.2%, down from 3.3% in September.

In the US, Personal Spending gained 0.6%, as consumer spending was higher despite stubbornly high inflation. Core PCE, the Fed’s favorite inflation gauge, remained unchanged at 0.5% MoM. On an annualized basis, the index rose 5.1%, up from 4.9% and just below the consensus of 5.2%. The data is unlikely to change expectations of a 0.75% rate hike from the Fed next week.

USD/CHF Technical

  • USD/CHF has pushed above resistance at 0.9711 and 0.9776. The next resistance line is 0.9892
  • There is support at 0.9652 and 0.9530

USD/CHF Daily Chart
USD/CHF Daily Chart

 
Is Swiss Franc Headed To U.S. Dollar Parity?
 

Related Articles

Al Brooks
EUR/USD Reverses Lower By Al Brooks - Feb 03, 2023

The EUR/USD bears got follow-through yesterday in the form of a bear bar closing on its low. This morning is a follow-through after yesterday’s bear reversal bar, and the market...

Is Swiss Franc Headed To U.S. Dollar Parity?

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.
  • Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
myint so
myint so Jan 30, 2023 5:14AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email