Through the course of a subdued trade on Tuesday the US dollar moved higher against the Swiss franc, despite the weak housing data, released from the United States on Monday.
USD/CHF pair reached a session high at 0.9399 at 9:45 GMT, after which consolidation followed at 0.9390. The cross was likely to receive support at June 26th low, 0.9345, while resistance was to be encountered at July 19th high, 0.9462.
US dollar remained pressured after on Monday an official report stated Existing Home Sales in the United States registered an unexpected drop in June. Sales decreased by 1.2% to a seasonally adjusted annual level of 5.08 million units during June, which was the second highest level since November 2009. In May the sales figure was revised down to 5.14 million units from 5.18 million units previously. This data dampened expectations of Federal Reserve Bank paring back its Quantitative Easing soon.
Todays trade volumes were thin because of the summer holidays.
The franc traded lower against the euro, with EUR/CHF pair advancing 0.33% to 1.2389 at 11:34 GMT. The common currency was boosted after Portugal’s Prime Minister Pedro Passos Coelho’s government received the support of the head of state to stay in office until its term ends in 2015, as President Anibal Cavaco Silva ruled out early elections, which would obstruct the completion of the 78-billion EUR bailout plan for the country.