Trade Desk Thoughts - Swiss GDP

Swiss GDP Actual 0.4%, Expected 0.2%, Previous 0.3%

Release Explanation: It measures the monetary value of all goods and services produced within a Country's borders in a specific time period. GDP is calculated on an annual basis, is the broadest measure of activity, and the primary gauge of each economy's overall health. It includes all Company and Personal consumption, government outlays, investments, and exports less imports, that occur within a defined territory.

Trade Desk Thoughts: The Swiss economy remains resilient to the global slowdown, having a 0.4% quarterly GDP read. The released number is bigger than markets expectations of 0.2%. Compared with the U.S. and the Euro-area economies, the Swiss economy is in better shape and this has lead analysts to believe the SNB will not cut interest rates in near the future. The last negative GDP read was in 2004, when the economy shrank in the third quarter.

Forex Technical Reaction: The Swissy had a weak reaction to the GDP and CPI releases. The pair moved 10 pips following the release, after in the Asian session it just hovered near the high of the previous session

Written by TheLFB Trade Team, © 2007-2008 LFB Services, LLC. All rights reserved. http://www.TheLFB-Forex.com

TheLFB Risk Disclaimer can be found at http://www.thelfb-forex.com/content.aspx?id=174.

The Copying, Broadcast, Republication or Redistribution of TheLFB Content is Expressly Prohibited Without the Prior Written Consent of LFB Services, LLC.