USD/CHF returns to 0.9850 area as USD weakens modestly after PPI data

  • Annual core PPI comes in at 2.7% vs 2.9% expected.
  • NY Fed Empire Stat Manufacturing Index drops to 3.9 from 10.9.
  • US Dollar Index erases small part of daily gains after data.

After advancing to a daily high of 0.9870 earlier in the day, the USD/CHF pair erased a small part of its daily gains as the greenback met a modest selling pressure following the disappointing macroeconomic data releases from the U.S. As of writing, the pair was still up 0.37% on the day at 0.9850.

The data published by the U.S. Bureau of Labor Statistics on Tuesday revealed that the PPI stayed unchanged at 2.5% on a yearly basis in December. The core PPI, which excludes volatile food and energy prices, came in at 2.7% to fall short of the market expectation of 2.9%. Furthermore, the NY Fed's Empire State Manufacturing Index dropped to 3.9 in January from 10.9 in December. The US Dollar Index weakened slightly from the daily high of 95.93 to 95.80 area after the data.

Later in the session, markets will be paying close attention to Wall Street's performance following today's dismal earnings data from large financial institutions in the U.S. Meanwhile, the Brexit vote could cause the market volatility to rise and impact the pair's price action as well.

Technical levels to consider

USD/CHF

Overview:
    Today Last Price: 0.9848
    Today Daily change: 36 pips
    Today Daily change %: 0.367%
    Today Daily Open: 0.9812
Trends:
    Previous Daily SMA20: 0.9863
    Previous Daily SMA50: 0.9934
    Previous Daily SMA100: 0.988
    Previous Daily SMA200: 0.9889
Levels:
    Previous Daily High: 0.9851
    Previous Daily Low: 0.9799
    Previous Weekly High: 0.9876
    Previous Weekly Low: 0.9716
    Previous Monthly High: 1.0009
    Previous Monthly Low: 0.979
    Previous Daily Fibonacci 38.2%: 0.9819
    Previous Daily Fibonacci 61.8%: 0.9831
    Previous Daily Pivot Point S1: 0.979
    Previous Daily Pivot Point S2: 0.9769
    Previous Daily Pivot Point S3: 0.9738
    Previous Daily Pivot Point R1: 0.9842
    Previous Daily Pivot Point R2: 0.9873
    Previous Daily Pivot Point R3: 0.9894

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.