USD/CHF Holds Steady Around 0.7920 as Market Awaits SNB Decision
USD/CHF is trading quietly near 0.7920 during the late Asian session. The U.S. dollar is relatively stable after Fed Chair Powell warned that cutting rates too quickly may be risky.
Powell said inflation could push upward and jobs might weaken if the Fed moves too soon. Meanwhile, another Fed official, Michelle Bowman, urged faster rate cuts to support a weak job market.
Traders are now focused on two big events ahead. First is the U.S. Durable Goods Orders report for August—analysts expect it to fall by 0.5%. Second, all eyes are on the Swiss National Bank (SNB)’s upcoming interest rate decision. The SNB is widely expected to keep its main rate at zero as Swiss inflation remains low. Some market watchers will also look for hints about whether negative rates might come back.
Because both sides are cautious, USD/CHF is stuck in a narrow range right now. The dollar isn’t strong enough to break out on its own, and the franc isn’t under enough pressure to collapse either.
Impact:
USD/CHF might stay in a tight band until the SNB’s decision. The pair could move higher if U.S. data surprises to the upside or drop if the SNB hints at policy easing.