US dollar continued its advance against the Swiss franc, US employment report eyed

US dollar managed to extend its advance against the Swiss franc on Friday, as market sentiment was dominated by expectations of a positively-toned report, regarding US employment in June.

USD/CHF jumped to a session high at 0.9595 at 7:18 GMT, after which consolidation followed at 0.9584. The cross added 0.17% for the day. Support was expected in the 0.9530-0.9555 zone, while resistance will be encountered in the range of 0.9600-0.9625.

Earlier today it became clear that Consumer Price Index (CPI) in Switzerland increased by 0.1% in June on a monthly basis, opposing expectations of a 0.2% drop, while in May the index advanced by another 0.1%. However, in annual terms, consumer inflation slowed down by 0.1% in the month of June, which was at a slower pace than projected (-0.4%), while in May 2013 inflation decelerated by 0.5% in comparison with May 2012. This recorded monthly increase was probably a result of higher prices of oil products, fruits and vegetables in the country.

Meanwhile, investors awaited the series of US data later in the trading day, which could give clues about the future moves by the Federal Reserve, regarding its 85 billion-USD-per month bond purchases. Initial estimates showed a slight decrease in the Unemployment rate in the United States to 7.5% in June from 7.6% a month ago and new 165 000 job positions added by economy in June. On Wednesday official data stated that US private sector alone added 188 000 jobs in June, beating expectations of an increase by 160 000.

Swiss franc was on lower levels versus the euro, as EUR/CHF pair ticked up by 0.02% to reach 1.2358 at 8:01 GMT. At the same time, EUR/GBP cross was also higher, trading at 0.8590 at 8:02 GMT, or 0.25% up for the day.