USD/CHF (current price: 0.9583)
The Swiss Franc has been slowly gaining ground on the U.S. Dollar, causing the pair to slide lower since hitting 0.97 last week. The cross fell sharply earlier on in June on Brexit worries, but failed to bounce back significantly as the referendum related worries faded. USD/CHF hit a new short-term low yesterday and it’s likely to continue lower towards the end of the week. The weak U.S. Jobs number is still putting some pressure on the Dollar, as the Swiss economy is showing signs of strength again, underlined by yesterday bullish Trade Balance reading.
Our assessment: The pair is still in a short-term declining trend after getting close to parity in May, as traders see less chance for an interest rate hike by the FED in the near future.
