Swiss franc ticks up ahead of PMI

05 Aug, 2008

The Swiss franc inched higher on Monday against other major currencies ahead of the release of the Swiss Purchasing Managers' Index (PMI) as stock markets looked set to soften. The Swiss PMI for July is expected to fall to 53.3 points from 54.9 points in June, tracking a fall in other European PMI and the drop in the leading Swiss growth barometer, the KOF.
The franc ticked up against the euro compared to Friday's New York close, trading at 1.6316 per euro. The franc also traded slightly higher against the dollar at 1.0474 per dollar. But analysts consider the franc's potential to rise as limited at the moment.
"If anything, the rather improved outlook for equity markets for most of last week seems to have supported the upward trend in the most important crosses versus the franc," UBS analyst Reto Huenerwadel said.

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