USD/CHF is struggling to return above 0.8200 despite the overall Dollar strength

The US Dollar remains capped below 0.8200 with the CHF buoyed by risk aversion.
Investors are wary of risk, awaiting Iran's response to this weekend's attack.
Later today, the US PMIs are expected to show that business activity growth moderated in June.

Guillermo Alcala FXStreet

The US Dollar is trading with moderate gains against the Swiss Franc on Monday, but remains trapped within the last few days' trading range, as the 0.8200 level keeps holding bulls for now.

The Greenback is appreciating against most of its main peers, but is failing to perform any significant advance against the safe-haven Swiss Franc, which is one of the strongest currencies today, amid a risk-averse market.

An attack from US planes and missiles that, according to President Trump, have devastated Iran’s nuclear program keeps investors on edge on Monday, awaiting a response from the Islamic Republic, which would escalate the conflict into a full-blown regional war.

Iranian officials have threatened to block the Strait of Hormuz, and an army spokesperson vowed severe consequences to the US earlier today.

In the macroeconomic front, US preliminary S&P Global PMIs are expected to show that business activity in the manufacturing and services sector eased in June, although still at levels consistent with moderate growth.

The highlights of the week will be the Fed Chair’s Semiannual Monetary Policy Report to Congress on Tuesday and Wednesday, and the US PCE prices Index on Friday, which will provide further clues on the bank’s monetary policy calendar.

Economic Indicator

S&P Global Composite PMI

The S&P Global Composite Purchasing Managers Index (PMI), released on a monthly basis, is a leading indicator gauging US private-business activity in the manufacturing and services sector. The data is derived from surveys to senior executives. Each response is weighted according to the size of the company and its contribution to total manufacturing or services output accounted for by the sub-sector to which that company belongs. Survey responses reflect the change, if any, in the current month compared to the previous month and can anticipate changing trends in official data series such as Gross Domestic Product (GDP), industrial production, employment and inflation. The index varies between 0 and 100, with levels of 50.0 signaling no change over the previous month. A reading above 50 indicates that the private economy is generally expanding, a bullish sign for the US Dollar (USD). Meanwhile, a reading below 50 signals that activity is generally declining, which is seen as bearish for USD.

AUD/USD remains under presure above 0.7000; focus on data

AUD/USD has met some renewed selling pressure on Thursday, coming down from tops near 0.7040 to revisit the 0.7000 region ahead of the opening bell in Asia. The pair’s daily decline has come despite a lacklustre performance in the Greenback at the time when investors continued to monitor developments from the Middle East. Looking ahead, the release of flash PMIs will grab the attention in Oz at the end of the week.

USD/JPY declines to a one-week low; eyes trading range support near 157.50 on weaker USD

USD/JPY drops to a one-week low during Thursday’s Asian session, with bears now awaiting a break below multi-week range support near mid-157.00s before placing fresh bets amid a broadly weaker US Dollar. Despite bets for a December Fed rate hike and Middle East jitters, the recent decline in US bond yields keeps USD depressed near a three-week low. Moreover, hawkish BoJ expectations and intervention risks underpin the Japanese Yen, further weighing on the currency pair.

Gold remains offered just above $4,000

Gold prices resume their decline on Thursday, easing toward the area of two-month lows around $4,050 per troy ounce. Higher crude oil prices have reignited speculation of further tightening by the Fed, supporting the US Dollar and weighing on the precious metal.

The estimates keep falling: Why Bitcoin's quantum countdown is accelerating

The threat that Artificial Intelligence (AI) and quantum computing pose to Bitcoin (BTC) and cryptocurrencies in general is no longer a matter of if hardware will catch up; it is a matter of when. Advances in AI-assisted research are adding a new dimension to the quantum computing threat, although neither technology can currently break Bitcoin’s cryptography on its own.

The Bank of England just got its clearest reason to hike. Here's what it's really watching

UK inflation as measured by the CPI accelerated to 3.5% YoY in September, up from 3.1% in August, according to the Office for National Statistics. This is the highest level since October 2025, exceeding economists' expectations of 3.4% and pushing inflation further from the BoE's 2% target.

What November 3 means for the Fed's rate path and the US Dollar

The USD faces a decisive period ahead of the November 3 midterm elections. While markets anticipate another interest rate increase from the Fed in December, the battle for control of Congress could reshape fiscal policy expectations and, indirectly, the path of US monetary policy in 2027.