The Swiss franc extended its recent gains against the dollar early on Wednesday after a weak United States consumer sentiment report sapped support for the US dollar in the previous session.
The dollar last traded at 1.2733/38 Swiss francs, down slightly from 1.2764/69 francs in late trading in Europe on Tuesday. The euro stood at 1.5449/57 francs from 1.5443/48 francs on Tuesday.
The US Conference Board's October consumer confidence index came in at a two-year low of 85.0. That compared with analysts' expectations for a small rise to 88.1 and cast a shadow over recent market optimism about the US economy.
The data was in contrast with a rise in a key measure of German business sentiment to a five-year high.
"The substantially better than expected German Ifo data not only resulted in a reassessment of European Central Bank monetary policy by markets, it also resulted in a consolidation of the euro/franc on a day of substantially lower dollar/franc," UBS market analysts wrote in a daily economic bulletin.
Comments
Comments are closed.