The Swiss franc slipped a touch against the dollar on Monday, as investors worried about tepid corporate earnings and the uncertain outlook for global economic growth. European shares were seen opening mixed on Monday and US stock markets will be closed in the face of a hurricane approaching the East Coast.
The franc often trades in tandem with the euro against the dollar due to the Swiss National Bank's cap of 1.20 per euro, set a year ago to ward off a recession, on the safe-haven unit. "What now -- 'risk on' or 'risk off'? The forex market seems not really be able to decide at the moment," analysts at Commerzbank said.
The highlight on the Swiss economic front this week will be data on the SNB's foreign currency reserve allocation for the third quarter. The SNB holds vast foreign currency reserves -around 70 percent of gross domestic product - and how large its holdings of euro, dollars, yen and other currencies are is generally of interest to the market. The franc fell 0.1 against the dollar to trade at 0.9357 at 0656 GMT compared to Friday's New York close. The franc was flat against the euro at 1.2090.
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