USD/CHF climbs higher toward 0.9200
- USD/CHF is rising for the third straight trading day.
- Broad-based USD strength helps USD/CHF push higher on Monday.
- Unemployment Rate in Switzerland stayed unchanged at 3.3% in July.
The USDCHF pair rose modestly in the second half of the previous week and preserved its bullish momentum on Monday. As of writing, the pair was trading at its highest level in nearly a week at 0.9176, gaining 0.6% on a daily basis.
DXY extends upward correction
Earlier in the day, the data published by the State Secretariat for Economic Affairs (SECO) showed that the Unemployment Rate in Switzerland remained unchanged at 3.3% in July. However, this reading came in worse than the market expectation of 3.1% and made it difficult for the CHF to stay strong against its rivals.
On the other hand, the US Dollar Index (DXY), which has gone into a correction phase after slumping to 92.50 area last week, continues to edge higher on Monday. Last Friday, the US Bureau of Labor Statistics reported that Nonfarm Payrolls in July increased by nearly 1.8 million. With this print surpassing analysts' estimate of 1.6 million and the DXY wrapped up the week on a firm footing.
Ahead of the JOLTS Job Openings data from the US, the DXY is up 0.22% on the day at 93.60.
In the meantime, the upbeat market mood, as reflected by modest gains witnessed in major European equity indexes, is putting additional weight on the safe-haven CHF's shoulders.
Technical levels to watch for
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
