The US dollar rose against the Swiss franc on Wednesday, easing off the pair’s all time low, as risk aversion caused by the nuclear crisis in Japan faded.
USD/CHF hit a high of 0.9198 during European morning trade, before settling at 0.9175. The franc had risen as high as 0.9137 on Tuesday, its strongest ever against the greenback.
The pair is likely to find short-term support at record low of 0.9137 and resistance at Tuesday’s high at 0.9250.
Earlier on Wednesday, the Bank of Japan (BoJ) pumped additional 13.8 trillion yen to stabilize the financial system in the wake of the earthquake. The total liquidity injection by BoJ stood at 55.6 trillion yen since March 14.
Japanese Nikkei recovered 5.68 percent to close above 9000 level, after a record selloff on Tuesday.
However, the Swiss franc was higher against the euro, with EUR/CHF losing 0.16 percent to hit 1.2807.
Moody's downgraded Portugal rating by two notches to A3, saying the country will continue to struggle from low growth rates and funding problems for years, despite access to the European Union’s bailout fund.