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USD/CHF corrects lower on upbeat Swiss GDP, mixed US economic data

  • USD/CHF trades lower on Thursday, failing to build on the previous day’s gains.
  • Swiss Q1 flash GDP expands 0.7%, the strongest pace since early 2023.
  • Softer US PPI outweighs Retail Sales beat, dragging the US Dollar lower.

The USD/CHF pair drifts lower, extending its consolidation within the current week’s range and trading near 0.8360 at the time of writing on Thursday.

Switzerland’s economy expanded by 0.7% in the first quarter, accelerating from a revised 0.5% growth in Q4 2024 and marking the strongest expansion since early 2023. According to the State Secretariat for Economic Affairs, “This growth was driven significantly by the services sector, with industry also showing overall expansion”.

However, inflationary pressures remain subdued. Producer and Import Prices fell by 0.5% year-on-year in April, deepening from a 0.1% decline in March and signaling persistent deflationary trends. On a monthly basis, prices edged up by just 0.1%, slightly below market expectations of a 0.2% rise.

The Swiss government continues to push for a trade deal with the United States (US) to avoid punitive tariffs. Finance Minister Karin Keller-Sutter described last week’s meeting in Geneva with US Treasury Secretary Scott Bessent as “constructive,” expressing hope that Switzerland could follow the UK in securing a bilateral agreement with the Trump administration.

The USD/CHF pair corrects further after mixed US macro data. April’s headline Producer Price Index (PPI) fell by 0.5% month-over-month, defying expectations of a 0.2% increase. On a yearly basis, PPI dropped 2.4%, slightly below the forecast of a 2.5% decline and down from March’s 2.7%. Core PPI fell 0.4% over the month, while the annual rate slowed to 3.1%, its lowest since August 2024. In contrast, Retail Sales edged up 0.1%, beating expectations of no change and highlighting resilient consumer demand. The soft inflation readings have reinforced dovish Fed expectations, weighing on the US Dollar (USD) despite modest strength in consumption.

Swiss Franc PRICE Today

The table below shows the percentage change of Swiss Franc (CHF) against listed major currencies today. Swiss Franc was the strongest against the New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.40%-0.40%-0.73%-0.02%0.17%0.27%-0.79%
EUR0.40%-0.00%-0.34%0.38%0.57%0.68%-0.39%
GBP0.40%0.00%-0.29%0.39%0.57%0.71%-0.35%
JPY0.73%0.34%0.29%0.71%0.90%1.00%-0.05%
CAD0.02%-0.38%-0.39%-0.71%0.20%0.31%-0.74%
AUD-0.17%-0.57%-0.57%-0.90%-0.20%0.11%-0.87%
NZD-0.27%-0.68%-0.71%-1.00%-0.31%-0.11%-1.03%
CHF0.79%0.39%0.35%0.05%0.74%0.87%1.03%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Swiss Franc from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent CHF (base)/USD (quote).

Author

Vishal Chaturvedi

I am a macro-focused research analyst with over four years of experience covering forex and commodities market. I enjoy breaking down complex economic trends and turning them into clear, actionable insights that help traders stay ahead of the curve.

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