News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Wall Street
More View more
Real Time News
  • The US Dollar will be bracing for a cascade of political risks including the first presidential debate, ongoing stimulus talks, the Supreme Court vacancy against the backdrop of key employment data. Get your #currencies update from @ZabelinDimitri here:
  • The Indian Rupee may be at risk to the US Dollar as USD/INR attempts to refocus to the upside. This is as the Nifty 50, India’s benchmark stock index, could fall further. Get your $USDINR market update from @ddubrovskyFX here:
  • Did you know a Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out:
  • Weakness in equity markets continued last week as losses built and technical patterns hint further bearishness might be ahead. Get your #equities update from @PeterHanksFX here:
  • Forex liquidity makes it easy for traders to sell and buy currencies without delay, and also creates tight spreads for favorable quotes. Low costs and large scope to various markets make it the most frequently traded market in the world. Learn more here:
  • There is a great debate about which type of analysis is better for a trader. Is it better to be a fundamental trader or a technical trader? Find out here:
  • #Gold prices succumbed to selling pressure as the US Dollar soared this past week What is #XAUUSD facing these next few days and can these fundamental forces extend its selloff? Check out my outlook here -
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here:
  • Many people are attracted to forex trading due to the amount of leverage that brokers provide. Leverage allows traders to gain more exposure in financial markets than what they are required to pay for. Learn about FX leverage here:
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here:
Swiss Franc Climbs Despite 10th Straight Month of Deflation

Swiss Franc Climbs Despite 10th Straight Month of Deflation

2012-08-07 08:17:00
Benjamin Spier, Technical Strategist

THE TAKEAWAY: Swiss CPI drops 0.5% in July, less than expected -> Continued deflation threatens Swiss growth -> The Franc gains against the US Dollar

Swiss consumer prices fell by the sharpest monthly rate in over a year as annual inflation remained negative for the tenth straight month. The consumer price index was reported 0.5% lower than the previous month and 0.7% lower than July 2011, both measures were 0.1% higher than expected.

The prices of food and beverages were unchanged in July, while clothing and shoe prices fell 9%. Transport prices were down 0.4% over the month, according to the Federal Statistics Office.

Deflation is compounded by the stregnthening of the Swiss Franc against the neighboring Euro and the resulting lower cost of imported goods. Deflation could negatively impact growth if consumers think their money will have stronger purchasing power in the future. To keep Swiss exports reasonably priced, the Swiss National Bank has maintained a 1.2000 floor in EURCHF trading. Continued deflation allows the SNB to keep on buying foreign currencies without worrying about the effect of inflation.

The Franc gained against the US Dollar following less than expected deflation; USDCHF dropped below 0.9700 after the release. The pair has corrected lower over the past few weeks, reversing a month-long rally that nearly brought USDCHF to parity. Support might come in at 0.9658, by the 50% retracement of July’s rally.

Swiss_Franc_Climbs_Despite_10th_Straight_Month_of_Deflation__body_usdchf.png, Swiss Franc Climbs Despite 10th Straight Month of Deflation

“Meet the DailyFX team in Las Vegas at the annual FXCM Traders Expo, November 2-4, 2012 at the Rio All Suite Hotel & Casino. For additional information regarding the schedule, workshops and accommodations, visit the FXCM Trading Expo website.”

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.