Menu

Search

  |   Commentary

Menu

  |   Commentary

Search

FxWirePro: Franc likely to strengthen to 0.92 per dollar

The recent selloff in the US dollar has already pushed the Swiss franc to the highest level since the US election on last November that led to a surge in the value of the dollar. As the White House and the Capitol Hill in Washington remain dogged by media claims of Russian collusion with the members of the Trump campaign since the inauguration of the new President, the financial market is reassessing the possibilities of President Trump’s campaign promises to pass through the congress and the senate this year. In addition to that, the recent change in tone within the US Federal Reserve has also forced investors to reassess the long positions in the dollar.

We suspect the trend to continue. Last April, We forecasted that the dollar index might decline to 95 from the then current rate of 100.5 and we extended that target to 93 today. However, our readers must note that we remain bullish on the dollar over the longer horizon and would prefer to long the dollar when conditions become suitable again.  

Our previous short-term call on franc has reached its target at 0.98 per dollar and here, we would like to extend that target first towards 0.965 and then towards 0.92.

  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.