USD/CHF retreats as easing Middle East tensions weigh on US Dollar

USD/CHF retreats after the announcement of a delay in strikes against Iran.
Falling Oil prices ease inflation concerns and support risk appetite.
The Swiss Franc remains capped by central bank intervention risks.

Ghiles Guezout FXStreet

USD/CHF trades lower around 0.7870 on Monday, down 0.12% at the time of writing, as the US Dollar (USD) weakens following a temporary easing of geopolitical tensions in the Middle East.

The move comes after US President Donald Trump said he had ordered a five-day postponement of potential strikes on Iranian energy infrastructure, pending ongoing discussions. The announcement triggered a sharp decline in Oil prices, easing inflation expectations and weighing on US Treasury yields as well as the Greenback.

However, the situation remains uncertain. Iranian sources, cited by Fars News Agency, deny any negotiations with Washington, while Tehran maintains a firm stance on the Strait of Hormuz. These conflicting signals continue to fuel market volatility, limiting the downside in the US Dollar.

In this context, the Swiss Franc (CHF), a traditional safe-haven asset, is not fully benefiting from the weaker US Dollar. Analysts at MUFG note that the Swiss National Bank (SNB) remains strongly opposed to excessive currency appreciation and stands ready to intervene in the foreign exchange market. This stance is capping CHF strength despite the fragile geopolitical backdrop.

Meanwhile, monetary policy expectations continue to support the US Dollar in the medium term. Markets have largely priced out Federal Reserve (Fed) rate cuts this year, as inflation risks remain elevated, particularly due to energy-related uncertainties. Major central banks are broadly maintaining a cautious stance, emphasizing risks linked to the evolving geopolitical situation.

With little US macroeconomic data scheduled at the start of the week, USD/CHF is likely to remain driven by overall market sentiment and geopolitical developments, which continue to act as the main short-term catalyst.

US Dollar Price Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the Australian Dollar.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		-0.29%	-0.64%	-0.54%	-0.00%	0.12%	-0.52%	-0.13%
EUR	0.29%		-0.36%	-0.22%	0.28%	0.53%	-0.24%	0.13%
GBP	0.64%	0.36%		0.11%	0.64%	0.89%	0.12%	0.48%
JPY	0.54%	0.22%	-0.11%		0.55%	0.65%	-0.06%	0.38%
CAD	0.00%	-0.28%	-0.64%	-0.55%		0.09%	-0.65%	-0.19%
AUD	-0.12%	-0.53%	-0.89%	-0.65%	-0.09%		-0.75%	-0.27%
NZD	0.52%	0.24%	-0.12%	0.06%	0.65%	0.75%		0.41%
CHF	0.13%	-0.13%	-0.48%	-0.38%	0.19%	0.27%	-0.41%

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 US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

Author

Ghiles Guezout

FXStreet

Ghiles Guezout is a Market Analyst with a strong background in stock market investments, trading, and cryptocurrencies. He combines fundamental and technical analysis skills to identify market opportunities.

AUD/USD stays defensive below 0.7150 after Chinese data

AUD/USD remains on the back foot below 0.7150 in the Asian session on Tuesday, close to an over three-week low touched the previous day. US bond yields hold near multi-year highs ahead of the FOMC meeting and oil-driven inflation risks, supporting the US Dollar and weighing on the currency pair. Mixed Chinese activity data for August also fail to inspire the Aussie.

USD/JPY extends gains toward 155.00 amid USD resurgence

USD/JPY keeps pushing higher toward 155.00 early Tuesday, looking for more upside, as traders await the FOMC and BoJ meetings this week. Meanwhile, Fed rate-hike bets and oil-driven inflation risks keep US bond yields near multi-year highs, supporting the US Dollar and the pair. That said, a more hawkish repricing of the BoJ normalization path might continue to underpin the Japanese Yen and could limit USD/JPY's upside. .

Gold regains $4,300 as traders await FOMC meeting

Gold regains $4,300 in the Asian session on Tuesday, but remains vulnerable near a one-month low, touched the previous day. Fed rate-hike expectations and inflation concerns remain supportive of elevated US bond yields, underpinning the US Dollar and weighing on the non-yielding bullion. Bears, however, might wait for the outcome of a two-day FOMC meeting on Wednesday before placing fresh bets.

WTI rises above $98.50 amid Middle East supply fears

West Texas Intermediate oil price extends its gains for the second successive day, trading around $98.60 per barrel during the Asian hours on Tuesday. Crude oil prices appreciate as traders continue to navigate heightened uncertainty over global supply.

Hard assets are entering their next explosive phase – Are you positioned?

It’s official: Commodities and Hard Assets have become the best-performing asset class of 2026. In a year defined by persistent inflation, geopolitical conflict, rising sovereign debt and intensifying supply disruption, capital is rotating aggressively into the one area governments cannot print and central banks cannot manufacture: scarce physical assets.

Venezuela’s 65-billion-barrel Oil deal could reshape America’s inflation fight

The United States (US) has secured unprecedented access to part of Venezuela’s vast Oil reserves. The timing is particularly significant as the war with Iran is disrupting Middle Eastern supplies, keeping energy prices elevated and reviving concerns about inflation.