USD/CHF hit session highs

US dollar advanced to its highest point against the Swiss franc on Tuesday, after the release of optimistic economic data out of China, which supported outlook over world’s second largest economy and safe haven demand for currencies such as the yen and the franc diminished.

USD/CHF hit a session high at 0.9367 at 11:56 GMT, after which consolidation followed at 0.9362, gaining 0.39% for the day. Support was likely to be found at September 9th low and also the lowest point in one week, 0.9301, while resistance was to be met at September 9th high, 0.9390.

Market sentiment and investors risk appetite were boosted after today it became clear that Chinese industrial production rose by 10.4% in August on annual basis, outstripping preliminary estimates of a 9.9% increase and after the indicator improved by 9.7% in July. In addition, Chinese retail sales climbed 13.4% in August annually, after the 13.2% advance during the preceding month. Experts had anticipated that sales will show a 13.2% increase. These data points suggested that the second largest economy worldwide was recovering from the slow down, experienced earlier.

Meanwhile, according to latest information in the media around the world, Syrian Foreign Minister agreed to Russias proposal his country to submit all of its chemical weapons under international supervision. “If the establishment of international control of chemical weapons in the country will help avoid military strikes, we will immediately start working with Damascus,” Russian Foreign Minister Sergei Lavrov said after meeting with his Syrian counterpart in Moscow on Monday, cited by Bloomberg. The United States is “going to take a hard look” at the Russian proposal, because Assad’s track record “doesn’t give us a lot of confidence,” said Tony Blinken, President Barack Obama’s deputy national security adviser, cited by the same media. President Obama was to make a televised address to the US nation later in the day.

Elsewhere, the franc was lower against the euro as well, with EUR/CHF cross advancing 0.28% to trade at 1.2395 at 12:12 GMT. In addition, GBP/CHF pair was gaining 0.36% to trade at 1.4690 at 12:13 GMT.