The USD/CHF pair is struggling to maintain momentum above 0.8800 in Thursday’s early European session. The US dollar is facing pressure as Fed Chair Powell hinted at a possible rate cut later this year. Swiss inflation data also suggests that the SNB might cut interest rates in the near future.
Investors are eagerly awaiting the Swiss Unemployment Rate and US weekly initial Jobless Claims, along with Fed Chair Powell’s testimony. The escalating geopolitical tensions in the Middle East could limit the downside of the Swiss Franc, as it is considered a safe-haven asset.
Market participants will be keeping a close eye on upcoming economic data and speeches by Fed officials, which could impact trading opportunities around the USD/CHF pair.