The Swiss Franc has weakened against the Pound and the Euro after economic sentiment in Switzerland improved by a less-than-expected margin in July.
According to the Centre for European Economic Research (ZEW) its indicator for economic sentiment improved by 2.6 points, to reach the level of 4.8 in July, in June that figure was recorded at 2.2. Economists had been expecting the figure to show an improvement of 3.8 points to rise to 6.0 in July.
The indicator reflects the expectations of the surveyed financial market experts regarding the economic development in Switzerland on a six-month time horizon.
Swiss Franc/ Pound Sterling Exchange Rate is currently in the region of: 0.6995
A reading above 0.0 on the indicator indicates optimism, while a score below 0.0 indicates pessimism.
Following the release of the data, the Swiss franc was little changed against the U.S. dollar, with USD/CHF adding 0.02% to trade at 0.9392.
Also weighing upon the Franc is US Federal Reserve Chairman Ben Bernanke’s testimony to congress. The chairman is expected to try and calm the nerves of jittery investors worried about a tapering of the Feds quantitative easing programme.
UBS economist Reto Huenerwadel said; “With the big new domestic impulses largely lacking, we expect technical trading on international factors to decide on the direction of the main Franc crosses near term.”
Current Swiss Franc (CHF) Exchange Rates
Swiss Franc/ Euro Exchange Rate is currently in the region of: 0.8088
Swiss Franc/US Dollar Exchange Rate is currently in the region of: 1.0638
Swiss Franc/ Pound Sterling Exchange Rate is currently in the region of: 0.6995
Swiss Franc/ Australian Dollar Exchange Rate is currently in the region of: 1.1557
(Correct as of 12:20 pm GMT)
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