It's not - enmity. It also enhances the effects of weapon skills, the additional effects on weapons, the power of provoke, bard songs, beastmaster charms and nothing else.
Ok the above post seem to be in accurate at best. Chr effects the following in the following ways: Bard songs ( effectiveness and for enfeeble songs duration)
Charm ( success and duration[duration is only slightly adjusted])
Hate/Enmity ( these arent like having + or - enmity but in the way of the rate of hate loss, each hit by a mob reduces your hate, higher the CHR the less hate you lose per hit, ever wondered why PLD gear is loaded in CHR?)
WS ( some WS such as Dancing Edge have a secondary modifier in which CHR boosts DMG output)
check out the ingredients to make it, silk and sheep leather, cheap stuff, good stats, good deal. i imagine this is used to skill up the craft on so people just want to get them sold asap.