USD/CHF on over one-month lows

US dollar tumbled to more than one-month lows against the Swiss franc on Wednesday, as the Swissie found support after the release of positive data out of Switzerland, regarding the KOF Leading Indicator.

USD/CHF fell to 0.9252 at 8:38 GMT, the lowest point since June 21st, after which consolidation followed at 0.9270. The pair was expected to receive support at June 19th low, 0.9180, while resistance was to be met at July 30th high, 0.9325.

Earlier today a report showed that the Konjunkturforschungsstelle (KOF) Leading Indicator in Switzerland rose for the fourth consecutive month in July, reaching 1.23, after a reading of 1.15 in June, while expectations pointed a value of 1.22. Having risen during the past several months, this indicator suggested that economic prospects have improved. Construction turned out to be the driving force behind economy, as well as other factors, such as slightly decreasing volatility in the European markets. Manufacturing sector in the country, according to KOF, did not manage to give enough support to growth, while consumer spending was also not strong enough.

Meanwhile, markets remained jittery ahead of FEDs statement on monetary policy, scheduled later in the day. Uncertainty over the future of Federal Reserves stimulus was still present, especially following the release of recent mixed economic data from the United States. On Tuesday it was reported that consumer confidence in the United States declined to a reading of 80.3 in July from 82.1 during the preceding month, while at the same time Standard & Poor’s and Case-Shiller said that their composite index of home prices in 20 major US cities advanced by 12.2% in the month of May on annual basis, slightly below the expected 12.4% rise.

Elsewhere, the Swiss franc was trading slightly higher against the euro, as EUR/CHF pair erased 0.12% to 1.2318 at 11:43 GMT. Additionally, GBP/CHF cross was also losing ground, trading at 1.4120 at 11:45 GMT, down by 0.36% for the day.