The franc showed mixed trading against other major currencies in early North American session on Thursday, following the Swiss National Bank interest rate decision. In line with prediction by analysts, the bank kept the interest rate unchanged at 0.25%.
The franc thus eased from a 3-day high against the dollar and recouped from a 2-day low against the euro.
Today, the Swiss National Bank left its key interest rate unchanged for a fourth time to support the economy, which is emerging from the shadows of the worst recession.
In its first quarterly meeting of the year, the central bank's Governing Board, led by Chairman Philipp Hildebrand, left its three-month libor target range unchanged at 0%-0.75%, as expected. In effect, the bank kept its key interest rate unchanged at 0.25%.
Against the U.S. currency, the Swiss franc rose to a 3-day high of 1.0684 at 8:35 am ET. However, the franc lost momentum thereafter and touched 1.0715 at 9:30 am ET. As of now, the dollar-franc pair is trading at 1.0718, compared to yesterday's close of 1.0704.
The U.S. weekly jobless claims report for the week ended March 06 was released at 8:30 am ET. The report showed that initial jobless claims edged down to 462,000 from the previous week's revised figure of 468,000. Economists had expected jobless claims to slip to 460,000 from the 469,000 originally reported for the previous week.
Today, the U.S. trade balance report showed that the trade deficit narrowed to $37.3 billion in January from a revised $39.9 billion in December. The smaller deficit surprised economists, who had expected the deficit to widen to $41.0 billion from the $40.2 billion deficit originally reported for the previous month.
The franc, whi ch traded higher against the yen, reversed its course after 7:40 am ET. At 9:45 am ET, the franc fell to 84.38 versus the yen. The franc-yen pair, which closed yesterday's trading at 84.62, is now trading at 84.39.
The franc recouped its recent losses against the pound. Rising from a low of 1.6127 hit at 6:00 am ET, the franc advanced to 1.6083 at 9:45 am ET. At present, the franc is quoted at 1.6088 against the pound, compared to 1.6036 hit at yesterday's New York session close.
The franc that slipped to a 2-day low of 1.4633 against the euro at 8:00 am ET, gained momentum thereafter and touched 1.4621 at 9:45 am ET. Currently, the euro-franc pair is worth 1.4622, compared to Wednesday's New York session close of 1.4614.
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