Market news
25.11.2022, 01:38

USD/CHF fails to sustain above 0.9440 amid volatile US Dollar, Swiss Employment in focus

  • USD/CHF is failing to sustain above the 0.9440 hurdle as the risk-on impulse is still solid.
  • The US Dollar has displayed wild gyration in the morning trade.
  • Swiss Employment level is seen higher at 5.331M than the prior release of 5.316M.

The USD/CHF pair has moved above the immediate hurdle of 0.9940 in the Tokyo session. The risk-sensitive currencies have sensed a minor selling interest as the USD Index (DXY) is displaying wild movements in the early trade. It would be early to say that the risk profile is changing as the volatility in the US Dollar arrived is not backed by any fundamental catalyst.

The returns on US Treasury bonds have trimmed further as investors are not expecting the continuation of a bigger rate hike regime by the Federal Reserve (Fed). The 10-year US Treasury yields have dropped below 3.67% and are expected to display more weakness ahead. Meanwhile, S&P500 futures are displaying some signs of further advances as expectations of a slowdown in policy tightening measures promise an improvement in economic projections ahead.

The golden days of the US Dollar have reached endgame as the United States Consumer Price Index (CPI) has already peaked and has displayed signs of exhaustion. It would be optimal to remain a little cautious as the recent decline in price pressures in the October inflation report is a one-thing thing. Therefore, confidence could get firmer only by a spree of the same.

Going forward, a rough session could be witnessed by the market participants as investors would adjust their extended overnight positions on Friday after a holiday on Thursday on account of Thanksgiving Day.

On the Swiss Franc front, investors are awaiting the release of Friday’s Employment data for the third quarter. The economic data is seen higher at 5.331M than the prior release of 5.316M. An upbeat employment data would support the Swiss National Bank (SNB) to stick with its expansionary policy approach.

 

 

© 2000-2022. All rights reserved.

This site is managed by Teletrade D.J. Limited 20599 IBC 2012 (First Floor, First St. Vincent Bank Ltd Building, James Street, Kingstown, St. Vincent and the Grenadines).

The information on this website is for informational purposes only and does not constitute any investment advice.

AML Website Summary

Risk Disclosure

Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.

Privacy Policy

Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.

Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.

Bank
transfers
Feedback
Live Chat E-mail
Up
Choose your language / location