USD/CHF Falls Near 0.7940 Even After New U.S. Trade Deals
The USD/CHF currency pair is moving lower and is now near 0.7940. This is its lowest level in two weeks. Even though the U.S. has signed new trade deals with Japan and the Philippines, the US dollar is still weak.
These trade deals added new taxes on goods from Japan and the Philippines. But they did not help the dollar go up. The U.S. Dollar Index, which shows how strong the dollar is compared to other major currencies, is also down near 97.45.
Traders are now waiting for important economic data from the U.S. This includes July’s business activity report (PMI) and June’s orders for long-lasting goods. These reports could affect the dollar’s strength.
In Switzerland, the Swiss National Bank (SNB) recently cut interest rates to 0% to help the economy. The SNB President will speak on Thursday. His comments might give hints about future plans.
Because of market worries and the weak U.S. dollar, traders are buying the Swiss franc. It is known as a safe-haven currency, which means people trust it more during uncertain times.
Impact :
USD/CHF may stay low if U.S. data is weak. The Swiss franc could remain strong if the SNB keeps interest rates low and global worries continue.