Should we keep a close eye on the movements of the Swiss franc, which is being bought amid the Israel crisis?

Should we keep a close eye on the movements of the Swiss franc, which is being bought amid the Israel crisis?

16.10.2023

Last weekend, following the release of U.S. CPI data on the 12th, the U.S. dollar strengthened against European currencies. GBP/USD fell by just over 100 pips from 1.2224 to 1.2122, marking its second consecutive day of decline.From a technical perspective, GBP/USD has fallen back below the 20-day moving average (MA), setting the stage for a potential continuation of the downtrend. We will be closely watching to see if the US dollar strengthens against the pound ahead of the UK CPI release scheduled for the 18th of this week.

European currencies saw the Swiss franc emerge as the strongest currency after Switzerland’s September producer import prices, released on the 13th, stabilized at -0.1% from the previous month’s -0.2%. The USD/CHF pair fell by approximately 80 pips from 0.9085 to 0.9002, offsetting the previous day’s gains.Due to yesterday’s decline, USD/CHF has fallen back to the 200-period simple moving average (SMA) on the 4-hour chart and has also returned to just below the 200-period SMA on the daily chart. However, since the lows are rising on the 4-hour chart, this could be seen as a retest of the 200-period SMA, so we will be watching price action during European trading hours.

Today’s schedule includes the German Wholesale Price Index at 3:00 PM, the Indian Wholesale Price Index at 3:30 PM, the Czech Producer Price Index at 4:00 PM, the Turkish Fiscal Balance at 5:00 PM, the Eurozone Trade Balance at 6:00 PM, and the Israeli GDP at 7:00 PM,EU Foreign Exchange Reserves, 9:30 PM: Canada Wholesale Sales, Canada Manufacturing Sales, US NY Fed Manufacturing Index, 11:30 PM: US Harker: Remarks by the President of the Philadelphia Fed, 12:30 AM: US 3-month/6-month Treasury Bill Auctions, and 12:30 AM: South Korea Import/Export Price Inflation Rate.We will closely monitor the movements of the Swiss franc, which is being bought on the back of the Israel situation.

Past Market Reports

1. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

2. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

3. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

4. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

5. 15.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

6. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

7. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

8. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

9. 09.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran