Swiss franc firmer ahead of slew of data

30 Nov, 2005

The Swiss franc firmed against the dollar in early trading on Tuesday as traders looked ahead to a string of data this week including Swiss gross domestic product numbers and the purchasing managers index.
The data is expected to underline the strength of Switzerland's economic recovery, supporting economists' views that the Swiss National Bank will raise interest rates during its next meeting in December.
"Following the very strong KOF leading indicator there is also the possibility of a positive GDP surprise on Thursday," UBS said in its daily note.
Ahead of the SNB meeting, traders will closely monitor Thursday's European Central Bank meeting, where central bankers are expected to tighten the monetary policy for the eurozone.
Internationally, comments by the Organisation for Economic Co-operation and Development in its annual outlook, scheduled for release at 1000 GMT, will be closely watched.
The dollar last traded slightly lower at 1.3086/88 Swiss francs after 1.3120/2304 in late trading in Europe on Monday, while the euro was near flat at 1.5478/82 francs compared to 1.5476/73 the day before.

Read Comments