Swiss Franc Slides Amid Risk Appetite
April 27 2020 - 5:11AM
RTTF2
The Swiss franc moved down against its major counterparts in the
European session on Monday, as several countries considered to
relax some of the lockdown measures intended to curb the spread of
the coronavirus.
Italy and Spain announced plans to ease restrictions on Sunday
in a bid to restart their economy.
Italian Prime Minister Giuseppe Conte said that "strategic"
businesses could restart as early as next week by taking strict
safety measures.
Investors looked ahead to a slew of central bank meetings this
week amid expectations for more stimulus measures.
The U.S. Federal Reserve ends its two-day meeting on Wednesday,
while the European Central Bank meets on Thursday.
The Bank of Japan abandoned the ceiling on its purchases of
Japanese government bonds, pledging unlimited bond-buying to keep
borrowing costs low.
The Swiss franc fell to a 2-week low of 1.0564 against the euro
from last week's closing value of 1.0523. The franc is seen finding
support around the 1.09 region.
The Swiss franc depreciated to 1.2119 against the pound, its
weakest level since April 15. Next key support for the franc is
likely seen around the 1.33 level.
The Swiss franc retreated to 0.9749 against the greenback, from
a 4-day high of 0.9712 seen at 2:15 am ET. The franc is likely to
find support around the 1.00 level.
The Swiss franc eased to 109.93 against the yen, after rallying
to a 4-day high of 110.58 at 5:00 pm ET. On the downside, 107.00 is
possibly seen as the next support level for the franc.
The Bank of Japan expanded its monetary stimulus for the second
straight month to support economic and financial activities amid
covid-19.
The board voted 8-1 to retain the interest rate at -0.1 percent
on current accounts that financial institutions maintain at the
central bank. The bank will purchase Japanese government bonds
without setting an upper limit so that the 10-year JGB yields will
remain at around zero percent.
CHF vs Yen (FX:CHFJPY)
Forex Chart
From Mar 2024 to Apr 2024
CHF vs Yen (FX:CHFJPY)
Forex Chart
From Apr 2023 to Apr 2024
