Market participants are keeping a close eye on the potential for recovery in the Swiss franc, which has hit a record low
07.05.2025
- Retail Sales in Europe
- U.S. FOMC Policy Rate and Statement Release
In yesterday’s U.S. currency trading, the Canadian dollar fell against the yen after the April Ivey Purchasing Managers’ Index (PMI) for Canada, released yesterday, came in lower than expected at 47.9, down from 51.3 the previous month. The CAD/JPY pair dropped from 104.198 to 103.249, falling along the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, the pair is searching for direction just below the 200-period SMA, while on the daily chart, it is currently rebounding after touching the 75-period MA.
Among European currencies, the Swiss franc was the weakest alongside the U.S. dollar during U.S. trading hours. The CHF/JPY pair fell from 174.867 to 172.875. The decline followed the -3σ line of the hourly Bollinger Bands. On the 4-hour chart, the price broke below the 20-day moving average (MA), which had been providing support, with the body of the candle closing below it; on the daily chart, the price has stalled just below the 20-day MA. We will need to monitor the direction of the market to see if the Swiss franc continues to weaken during today’s U.S. trading hours.
Today’s economic indicators include New Zealand’s employment report at 7:45, Germany’s new manufacturing orders at 15:00, the UK’s construction PMI at 17:30, and the Eurozone’s retail sales at 18:00,8:00 PM: U.S. MBA Mortgage Applications Index, 11:30 PM: U.S. Weekly Crude Oil Inventories, 3:00 AM: U.S. FOMC Interest Rate Decision and Statement, 3:30 AM: U.S. Fed Chair Powell Press Conference, and 4:30 AM: U.S. Consumer Credit Balance. We will carefully assess the potential for recovery in the Swiss franc, which has fallen to its weakest level.
Author: Keisuke Sakurai
