USD/CHF pulls away from daily highs, hold above 0.9000

USD/CHF reached a daily high of 0.9025 on Wednesday.
US Dollar Index continues to push higher after closing in the green on Tuesday.
Federal Reserve will publish its Beige Book 1800 GMT.

Eren Sengezer FXStreet

The USD/CHF pair stayed relatively quiet at the start of the week and posted small losses on Monday and Tuesday before gaining traction on Wednesday. After reaching a fresh daily high of 0.9025, however, the pair erased a portion of its daily gains and was last seen rising 0.42% at 0.9006.

DXY stays above 90.00 as focus shifts to Fed's Beige Book

The renewed USD strength helped USD/CHF push higher during the European session. The ISM's Manufacturing PMI report showed on Tuesday and input prices rose sharply in the manufacturing sector in May and triggered a rally in the US Treasury bond yields. With the benchmark 10-year US T-bond yield rising 2% on Tuesday, the US Dollar Index (DXY) staged a decisive recovery and preserved its bullish momentum on Wednesday. At the moment, the DXY is up 0.16% at 90.06.

Meanwhile, Swiss National Bank Vice Chairman Fritz Zurbruegg said on Tuesday that they welcome the recent weakening in the CHF but reiterated that the currency is still "highly valued."

Later in the day, the Federal Reserve its Beige Book. Market participants will look for fresh clues regarding inflation expectations in the 12 Fed districts.

Technical levels to watch for

USD/CHF

Overview
Today last price	0.9005
Today Daily Change	0.0035
Today Daily Change %	0.39
Today daily open	0.897

Trends
Daily SMA20	0.9013
Daily SMA50	0.9154
Daily SMA100	0.9102
Daily SMA200	0.9075

Levels
Previous Daily High	0.8999
Previous Daily Low	0.8947
Previous Weekly High	0.903
Previous Weekly Low	0.893
Previous Monthly High	0.9165
Previous Monthly Low	0.893
Daily Fibonacci 38.2%	0.8967
Daily Fibonacci 61.8%	0.8979
Daily Pivot Point S1	0.8945
Daily Pivot Point S2	0.892
Daily Pivot Point S3	0.8893
Daily Pivot Point R1	0.8997
Daily Pivot Point R2	0.9024
Daily Pivot Point R3	0.9048

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.

EUR/USD remains offered below 1.1800, looks at US data

EUR/USD is still trading on the defensive in the latter part of Thursday’s session, while the US Dollar maintains its bid bias as investors now gear up for Friday’s key release of the PCE data, advanced Q4 GDP prints and flash PMIs.

GBP/USD bounces off monthly lows near 1.3430

GBP/USD is sliding in tandem with its risk-sensitive peers, drifting back towards the 1.3430 area, its lowest levels in the month. The move reflects a firmer Greenback, supported by another round of solid US data and a somewhat divided FOMC Minutes.

Gold surrenders some gains, back below $5,000

Gold is giving away part of its earlier gains on Thursday, receding to the sub-$5,000 region per troy ounce. The precious metal is finding support from renewed geopolitical tensions in the Middle East and declining US Treasury yields across the curve in a context of further advance in the Greenback.

XRP edges lower as SG-FORGE integrates EUR stablecoin on XRP Ledger

Ripple’s (XRP) outlook remains weak, as headwinds spark declines toward the $1.40 psychological support at the time of writing on Thursday.

Hawkish Fed minutes and a market finding its footing

It was green across the board for US Stock market indexes at the close on Wednesday, with most S&P 500 names ending higher, adding 38 points (0.6%) to 6,881 overall. At the GICS sector level, energy led gains, followed by technology and consumer discretionary, while utilities and real estate posted the largest losses.

Injective token surges over 13% following the approval of the mainnet upgrade proposal

Injective price rallies over 13% on Thursday after the network confirmed the approval of its IIP-619 proposal. The green light for the mainnet upgrade has boosted traders’ sentiment, as the upgrade aims to scale Injective’s real-time Ethereum Virtual Machine architecture and enhance its capabilities to support next-generation payments.