USD/CHF may surpass 0.9310 amid renewed fears of nuclear explosion by Russia

The USD/CHF pair is failing to surpass 0.9310 from the last three trading sessions in absence of any potential trigger that could drift the greenback bulls towards the north. The major has strengthened on the escalation of geopolitical tensions between Russia and Ukraine. The peace talks between Moscow and Kyiv ended with an absence of any positive outcome as the former demanded a ‘surrender’ from the latter against a ceasefire.

The situation is back to square despite the softer stance on NATO membership by Ukrainian President Volodymyr Zelenskyy. A statement came from Ukraine’s Foreign Minister Dmytro Kuleba post the peace talks that "Russia is not in a position at this point to establish a cease-fire. They seek a surrender from Ukraine. This is not what they're going to get,"

Meanwhile, the Ukrainian parliament says Russian forces attacked a Kharkiv institute that contains an experimental nuclear reactor. This has renewed the fears of a nuclear attack by the Kremlin, which has underpinned the greenback against the Swiss franc.

The US dollar index (DXY) has climbed above 98.50 on improvement in safe-haven appeal. Adding to that the galloping inflation in the US has stamped a hike of 50 basis points (bps) interest rate decision by the Federal Reserve (Fed) in March’s monetary policy meeting. The Swiss franc bulls are captured on four sides and investors may dump them further if geopolitical fears get ugly.

For further guidance, headlines from Ukraine will keep dictating USD/CHF prices. While investors will also focus on Swiss’s Trade Balance later next week. But before that, US Michigan Consumer Sentiment Index will be released by the University of Michigan on Friday.