USD/CHF stages modest rebound, trades around 0.9050 as focus shifts to US data
|- USD/CHF close previous seven trading days in the red.
- US Dollar Index stays above 92.00 on Wednesday.
- Eyes on ADP Employment Change and ISM Services PMI data from US.
The USD/CHF pair extended its daily losing streak to seven on Tuesday and touched its lowest level since mid-June at 0.9022. Nevertheless, the pair seems to have gone into a consolidation phase on Wednesday and was last seen gaining 0.15% on the day at 0.9050.
10-year US T-bond yield rebounds modestly
The sharp decline witnessed in the US Treasury bond yields weighed heavily on USD/CHF on Monday and Tuesday. After losing more than 7% in that two-day period, the benchmark 10-year US T-bond yield is up 0.5%, helping the pair stay in the positive territory.
On the other hand, the greenback continues to stay resilient against its major rivals with the US Dollar Index clinging to small daily gains above 92.00.
Later in the session, the ADP's private-sector employment report for July will be looked upon for fresh impetus. The ISM's and the IHS Markit's July Services PMI will be featured in the US economic docket as well. However, ahead of Friday's Nonfarm Payrolls report, the market reaction to Wednesday's data is likely to be muted. Instead, investors will remain focused on the US T-bond yields.
Technical levels to watch for
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