Swiss Franc Rises Sharply Amid Middle East Tensions; EUR/CHF in Short-Term Correction?
| Action Insight Mid-Day Report 5-28-24 |
Swiss Franc Rises Sharply Amid Middle East Tensions; EUR/CHF in Short-Term Correction? |
Swiss Franc is having a significant surge today, likely due to flight to safe-haven assets amid rising tensions in the Middle East. Reports have emerged that Israeli military tanks were seen in central Rafah for the first time since the Israel Defense Forces entered the city earlier this month. This movement follows a recent missile strike by Israel on a displacement camp near Rafah, contributing to the heightened geopolitical uncertainty. In response to these developments, gold prices edges higher, reflecting increased investor caution. Concurrently, WTI crude oil prices are rebounding toward 80 per barrel, indicating a partial recovery amid the volatile geopolitical picture. Overall in the forex markets, New Zealand Dollar and Australian Dollar are also showing strength, trailing Swiss Franc. On the other hand, Dollar is the weakest performer today, followed by Canadian Dollar and Euro. Japanese Yen and British Pound are trading in a more neutral position... |
USD/CHF Mid-Day Outlook Daily Pivots: (S1) 0.9128; (P) 0.9141; (R1) 0.9151; More.... USD/CHF's retreat from 0.9157 extends lower but stays above 0.9077 minor support. Intraday bias remains neutral and another rise is in favor. On the upside, above 0.9157 will bring retest of 0.9223. However, on the downside, break of 0.9077 will suggest that rebound from 0.8987 has completed. Intraday bias will be turned back to the downside for 0.8987 support. Further break there will resume the fall from 0.9223 to 38.2% retracement of 0.8332 to 0.9223 at 0.8883. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:01 | GBP | BRC Shop Price Index Y/Y Apr | 0.60% | 0.80% | | 23:50 | JPY | Corporate Service Price Index Y/Y Apr | 2.80% | 2.30% | 2.30% | 2.40% | | 01:30 | AUD | Retail Sales M/M Apr | 0.10% | 0.30% | -0.40% | | 12:30 | CAD | Industrial Product Price M/M Apr | 1.50% | 0.60% | 0.80% | 0.90% | | 12:30 | CAD | Raw Material Price Index Apr | 5.50% | 3.20% | 4.70% | 4.30% | | 13:00 | USD | S&P/Case-Shiller Home Price Indices Y/Y Mar | 7.40% | 7.50% | 7.30% | | 13:00 | USD | Housing Price Index M/M Mar | 0.10% | 0.60% | 1.20% | | 14:00 | USD | Consumer Confidence May | 96.1 | 97 |
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