Swiss Franc Trades Higher Against Most Majors After Key European Data

Swiss Franc Trades Higher Against Most Majors After Key European Data

During early European trading on Monday, the Swiss currency traded higher against major opponents after the release of some key economic reports from Europe.

The Federal Statistical Office said today, Swiss retail sales grew 5.9 percent year-on-year in August, faster than the revised 2.9 percent rise in July.

On a monthly comparison, real retail turnover recovered in August, up 0.4 percent compared to a 0.6 percent fall in July.

According to the survey data from Credit Suisse bank, Switzerland's Purchasing Managers' Index (PMI) fell to 43.6 points from 46.7 in August. A reading below 50 indicates contraction in the sector. Economists had forecast a score of 47.5 for September.

A survey data from Markit Economics showed today that French Purchasing Managers' Index plunged to 42.7 in September, the lowest since April 2009, from 46 in August. The flash reading for September was 42.6.

In an another report, Markit Economics said that the final seasonally adjusted Markit/BME Germany Purchasing Managers' Index (PMI) rose to 47.4 from 44.7 in August. A reading below 50 suggests the manufacturing sector is contracting.

In the final data from a survey by the same agency, Eurozone seasonally adjusted purchasing managers' index (PMI) for the manufacturing sector came in at a six-month high of 46.1 in September, slightly higher than 46 recorded in the preliminary estimates.

Meanwhile, unemployment in the Eurozone remained unchanged for the second successive month in August, data released by statistical office Eurostat showed.

In August, the seasonally adjusted unemployment rate was 11.4 percent, unchanged from July and June. The latest figure also matched economists' expectations. In August 2011, the jobless rate in the single-currency bloc was 10.2 percent.

At around 5:00 am ET, the franc climbed to a 4-day high of 83.33 against the yen from previous session's low of 82.59. Currently, the franc-yen pair is worth 83.27.

Against its British counterpart, the franc edged up further in today's early European session and spiked up to a a 10-day high of 1.5129 by about 5:50 am ET.

U.K. manufacturing sector continued to shrink in September due to weak order inflows and mounting job losses, results of a survey by the Chartered Institute of Purchasing & Supply and Markit Economics revealed.

The seasonally adjusted Markit/CIPS Purchasing Manager's Index (PMI) dropped to 48.4 from 49.6 in August.

The Swiss currency that hit a multi-week high of 0.9441 versus the US dollar in early Asian session, edged down thereafter and as of now trading near 0.9367.

From the U.S., ISM manufacturing index for September and construction spending for August are slated for release in the New York morning session.