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4 Jul 2013
USD/CHF rockets to 0.9570
FXstreet.com (London) - USD/CHF steam ahead post ECB’s decision to keep rates on hold and during the press conference.
USD/CHF has been capped at 0.9570, tailing back by 10-15 pips to March highs around 0.9555. At the same time, EUR/USD has lost around 150 pips to trade below 1.2900 to make a low of 1.2883 while the ECB, for the first time, said that rates will either remain at present or lower levels over an extended period of time, given the broad based weakness in the economy and within a strategy consistent to their two pillar strategy.
However, he will not explain what an extended period. However, Draghi did indicate more than 6 or 12 months when he was pressured by the press. He also said the decision was unanimous to keep rates at hold and in respect of new forward guidance. Kearen Jones at Commerzbank said that above 0.9568 will target 0.9688 en route to 0.9840 the May high.
USD/CHF has been capped at 0.9570, tailing back by 10-15 pips to March highs around 0.9555. At the same time, EUR/USD has lost around 150 pips to trade below 1.2900 to make a low of 1.2883 while the ECB, for the first time, said that rates will either remain at present or lower levels over an extended period of time, given the broad based weakness in the economy and within a strategy consistent to their two pillar strategy.
However, he will not explain what an extended period. However, Draghi did indicate more than 6 or 12 months when he was pressured by the press. He also said the decision was unanimous to keep rates at hold and in respect of new forward guidance. Kearen Jones at Commerzbank said that above 0.9568 will target 0.9688 en route to 0.9840 the May high.