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SwissFranc rate has slightly weakened at the trades in the Forex currency market onFriday after testing local market yesterday.

Forex forecast: MACD indicator for the pair USD/CHF hasbroken through the signal line from top to bottom and is in the negative areanow, giving a sell signal. Stochastic Oscillator tends to come out of theneutral zone; however there is no clear signal yet.

Forex recommendations: in case of breakdownat 0.9120, the pair USD/CHF will go to 0.9110 and 0.9000. Consolidation nearcurrent levels is possible.

Macro-economic situation in Switzerland isstable.

The fact that Swiss National Bank does notreact to the rise in Franc’s price is raising a lot of questions. 

Statistics released yesterday showed thatconsumer confidence in the country increased to -19 points in January, againstthe level of -24 points in December and the forecast of -22 points, as per SECOestimates.

Representative of SNB Mr. Dantin said earlierthat, decline in the rate of Franc is possible in perspective, as measures torestrict its growth are going to be introduced. He once again outlinedwell-known positions of SNB about possibility of unlimited purchases of foreigncurrency in order to keep Franc in permissible price limits.  

We would remind that the head of SwissNational Bank Phillip Hildebrand resigned at the beginning of January. The nameof successor is still unknown and it is also not clear if a new governor of theBank will adhere to the same policy as his colleague in monetary issues. Swissgovernment noted earlier that search for the candidate for SNB governor willtake several months. Earlier, Swiss government indicated intention to revisepolicy of supervision over SNB activity.

Monetary politician Mr. Jordan said earlierthat SNB is firmly determined to maintain the level of 1.20 in the pairEuro/Franc and is prepared to adopt additional measures if economic situationwill require. He also confirmed that economic growth rate has slowed down inSwitzerland this year, although there is no risk of rise in inflation. Hebelieves that Franc is still too strong and reduction in its price isnecessary. Swiss economists said earlier that second half of this year is goingto be better than the first one, Swiss economy is stable enough to survive mildrecession. Naturally, it will affect the economic growth rate in the country:slow growth rate of GDP is expected in 2012. 

It became know earlier that unemployment ratein Switzerland amounted to 3.4% in January against the forecast of 3.5% and theprevious value of 3.3%. This is the highest level of the index since lastspring and quite negative indication in the state of affairs in the nationaleconomy.

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