Swiss Franc drops sharply today, as pressured by selling against Euro, and rising treasury yields. Dollar once again tries to recover, but there is no committed buying yet. The greenback traders will carefully scrutinize the comments from Fed officials coming out today and tomorrow, as the annual Jackson Hole Symposium goes along. Meanwhile, commodity currencies will look into stocks' reaction and overall market sentiment. Technically, EUR/CHF's strong rebound today raises the possibility that 1.0694 is already a short term bottom. Focus is now turning to 1.0839 resistance. Break there will bring stronger rally back towards 1.0985 resistance. If that happens, we'll see if EUR/USD would follow and break through 1.1804 resistance. Or, USD/CHF would break through 0.9241 resistance instead. In Europe, at the time of writing, FTSE is down -0.28%. DAX is down -0.51%. CAC is down -0.25%. Germany 10-year yield is up 0.0179 at -0.402. Earlier in Asia, Nikkei rose 0.06%. Hong Kong HSI dropped -1.08%. China Shanghai SSE dropped -1.09%. Singapore Strait Times rose 0.06%. Japan 10-year JGB yield rose 0.0005 to 0.021. |
