flag-999687_1280-300x199About 11:00 today, German ZEW institute published the results of economic expectations for Switzerland in November 2016. Compared to the previous month, the index increased by 3.7 to 8.9 value, which means growth for the third month in a row.


Assessment of the current economic situation down

Despite the favorable results of economic expectations index investigating assessment of the current economic situation slides about 3.2 units to 14.7. Almost three-quarters of surveyed analysts are of the opinion that economic conditions will not change in the scale the next six months, and the current state of the economy they consider to be “normal”.

The following graphical representation of responses on how they think the average real GDP Switzerland will be changed in the range of 3 to 5 years (first graph) and as developed will be CPI inflation in the scale of 5 years (second graph):

source ZEW
source ZEW

The full report in PDF format is available under the LINK

The Swiss franc weak against the dollar

Swiss Franc in November clearly loses against the US dollar, which, among other things aftermath of the election results in the United States. Price is now the highest since March this year and again beat the round level of 1.0000, which during Wednesday’s session is tested from the top, which may be the signal for further appreciation:

USDCHF Daily
USDCHF Daily

The situation looks different, however, on quotations of EUR / CHF – Swiss Franc here is definitely stronger currency gaining continuously since the beginning of October. Quotations managed to overcome 1.0775 area lows in June, which were once tested. Currently, we are witnessing a correction – if it comes back to this level, we can consider short positions.

EURCHF Daily
EURCHF Daily

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