USD/CHF snaps the two-day losing streak above 0.9000 ahead of US PCE data

USD/CHF holds the positive ground around 0.9025 on the firmer US Dollar.
The high-for-longer US rate narrative might boost the Greenback against the CHF.
SNB’s Schlegel said the SNB will monitor the FX rate closely and intervene if necessary.

Lallalit Srijandorn FXStreet

The USD/CHF pair snaps the two-day losing streak near 0.9025 on Friday during the Asian session. The hawkish comments from the US Federal Reserve (Fed) and strong US economic data boost the US Dollar (USD) and support USD/CHF. However, the upside of the pair might be limited amid the possibility that the Swiss National Bank (SNB) could intervene in the foreign exchange market.

The Fed governor Christopher Waller said on Wednesday that the US central bank was in no rush to cut interest rates as elevated inflation indicated that the current rates needed more time to work. Meanwhile, Fed Governor Lisa Cook stated on Monday that the path of disinflation has been bumpy, but a cautious approach to further policy shifts can ensure that inflation will return sustainably to the 2% target. The high-for-longer US rate narrative might lift the Greenback and create a tailwind for the pair in the near term.

On the other hand, the Swiss National Bank (SNB) Vice President Martin Schlegel said on Wednesday that the Swiss central bank will monitor the exchange rate closely and intervene in the foreign exchange market as necessary, even though it has no target for the Swiss Franc (CHF) exchange rate. Last week, the SNB surprised the market by cutting its benchmark interest rate for the first time in nine years, which triggered the sell-off in the CHF in previous sessions. The speculation of SNB’s intervention might cap the downside of the CHF against the USD.

Additionally, the escalating geopolitical tensions in the Middle East might benefit safe-haven currencies like the Swiss Franc. The Palestinian Red Crescent said that Israeli forces besieged two more Gaza hospitals on Sunday, pinning down medical teams under heavy gunfire.

Later on Friday, the US Core Personal Consumption Expenditures (PCE) Price Index will be due. The Fed’s preferred inflation gauge is estimated to remain stable at 2.8% YoY. The market is likely to be mute in light trading on Good Friday.

USD/CHF

Overview
Today last price	0.9021
Today Daily Change	0.0005
Today Daily Change %	0.06
Today daily open	0.9016

Trends
Daily SMA20	0.8878
Daily SMA50	0.8794
Daily SMA100	0.8735
Daily SMA200	0.8818

Levels
Previous Daily High	0.9065
Previous Daily Low	0.9
Previous Weekly High	0.902
Previous Weekly Low	0.8822
Previous Monthly High	0.8886
Previous Monthly Low	0.8553
Daily Fibonacci 38.2%	0.9025
Daily Fibonacci 61.8%	0.904
Daily Pivot Point S1	0.8989
Daily Pivot Point S2	0.8962
Daily Pivot Point S3	0.8924
Daily Pivot Point R1	0.9054
Daily Pivot Point R2	0.9092
Daily Pivot Point R3	0.912

Author

Lallalit Srijandorn

FXStreet

Lallalit Srijandorn is a Parisian at heart. She has lived in France since 2019 and now becomes a digital entrepreneur based in Paris and Bangkok.

AUD/USD hits nine-week lows below 0.7000 on RBA Bullock's remarks

AUD/USD reverses a brief uptick and turns lower to hit nine-week lows below 0.7000 in the European morning on Tuesday, as traders digest cautious remarks from Reserve Bank of Australia (RBA) Governor Michele Bullock during the press conference. Earlier on, the RBA raised the cash rate to 4.60%, as widely expected, leaving the door open to further rate hikes if needed.

USD/JPY consolidates near 157.50 as a bullish USD counters intervention risks

USD/JPY struggles to capitalize on the overnight bounce from a one-week low, consolidating around 157.50 in the Asian session on Tuesday. Trump's concerns about the Japanese Yen's weakness fueled speculation about another US-Japan joint intervention. This, along with the hawkish BoJ, underpins the JPY and caps the currency pair. Meanwhile, rising Fed rate-hike bets and oil-driven inflation fears continue to push US bond yields to multi-year highs, keeping the US Dollar pinned near a two-month high and supporting the pair.

Gold regains some traction; focus remains on $4,100

Gold manages to gather some composure and bounces off recent lows near the key $4,100 mark per troy ounce on Tuesday. The move higher in the precious metal comes despite the firmer US Dollar and rising US Treasury yields across the board, while escalating geopolitical tensions appear to limit the downside potential.