USD/CHF rises further beyond 0.9900 handle, over 2-week tops
|- The ongoing USD bullish run helped build on the recent recovery move.
- CHF weighed down by SNB rate cut speculations/improving risk sentiment.
- Traders now look forward to the advance US GDP report for a fresh impetus.
The greenback remained well bid across the board and lifted the USD/CHF pair to over two-week tops, around the 0.9920 region in the last hour.
The pair built on its recovery from the 0.9800 neighbourhood, or three-week lows, and traded with a positive bias for the third session in the previous four amid the ongoing US Dollar bullish run to fresh multi-week tops, levels beyond mid-97.00s.
Thursday's upbeat US durable goods orders data further reaffirmed market expectations that the Fed is unlikely to deliver a 50 bps rate cut in July, which triggered a sharp up-move in the US bond yields and underpinned the greenback demand.
This coupled with improving risk sentiment, as depicted by a positive mood around equity markets, dented demand for traditional safe-haven currencies - including the Swiss Franc (CHF), and remained supportive of the ongoing positive move.
The CHF was further weighed down by speculations that the Swiss National Banks (SNB) will cut its already deeply negative benchmark interest rates by another 25 bps in response to an increasingly expansive mood at the European Central Bank (ECB).
Moving ahead, Friday's US economic docket - highlighting the release of advance US GDP growth figures for the second quarter of 2019, will now play a key role in influencing the USD price dynamics and produce some meaningful trading opportunities.
Technical levels to watch
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.