September 4, 2012
Despite weaker than expected data from Switzerland, the Swiss franc was able to keep its head up during the London session and even end the US session with a tiny gain against the Greenback. USD/CHF closed at .9536, 22 pips down from its .9558 open price.
Switzerland's annualized retail sales figure missed expectations of a 3.5% increase for July and posted a mere 3.2% rise. Even worse, the June figure was revised down from the initial 3.7% estimate to show a 3.3% year-over-year uptick for the month.
Meanwhile, the SVME PMI revealed that the Swiss manufacturing industry contracted yet again as it showed a 46.7 reading for August. This came as a surprise since analysts were expecting the PMI to climb from 48.6 to 49.2 during the month.
Today, Switzerland is set to release its GDP figure for Q2 2012 and possibly show that their economy grew by 0.2%. This would be much weaker than the previous quarter's 0.7% growth and Q2 2011's 0.4% economic expansion. Make sure you stay tuned for the actual release at 5:45 am GMT because a weaker than expected reading could result in a Swissy selloff!
"The only cable I watch is the pound baby."