Forex - USD/CHF hits 4-day high as risk aversion eases

Forex - USD/CHF hits 4-day high as risk aversion eases

 Forex pros - The U.S. dollar rose to a four-day high against the Swiss franc on Tuesday, as risk aversion eased after a rebound in equities bolstered market sentiment and curbed safe haven demand.

USD / CHF hit 0.8234 during European late morning trade, the pair's highest since July 13; the pair subsequently consolidated at 0.8198, gaining 0.29%.

The pair was likely to find support at 0.8079, the low of July 14 and the pair's all-time low and resistance at 0.8330, the high of July 13.

Investors remained wary amid concerns over sovereign debt contagion to Italy and Spain from Greece, after Monday saw Italian and Spanish 10-year bond yields advance above 6% and their spreads over benchmark German bonds rise to euro-lifetime highs.

Later in the week, euro zone leaders were to meet in Brussels to discuss a second bailout for Greece and the overall financial stability of the single currency bloc.


The Swissie was also lower against the euro, with EUR/CHF rallying 0.81% to hit 1.1631.

Later Tuesday, the U.S. was to publish government data on building permits and housing starts.