USD/CHF remains poised to extend losses below 0.9150 ahead of Swiss data
- USD/CHF edges higher on Thursday during the initial Asian trading hours.
- Lower US Treasury yields undermine the demand for the US dollar.
- US Dollar Index stays pressurized near 92.50 consecutively for the third session.
USD/CHF edges higher in the Asian trading hours on Thursday. After testing the high at 0.9190 in the previous session, the pair traded in a very close trade band in today’s session.
At the time of writing, USD/CHF is trading at 0.9156, up 0.6% for the day.
The US Treasury yields trade lower at 1.299% with 0.25% losses. The US Dollar Index (DXY) moves in tandem with the benchmark 10-year yields movement and trades near 92.50, which capped the gains for USD/CHF.
Investors continued to digest the disappointing ADP job report. Private businesses in the US hired 374K workers in August, much below the market expectations of a 613K rise.
On the other hand, the Swiss Franc picked the momentum on broad-based USD weakness, despite the downbeat economic data.
It is worth noting that S&P 500 Futures were trading at 4,524, up 0.03%.
According to Swiss National Bank Vice President, Fritz Zurbruegg Switzerland’s housing market is in the danger zone of a correction as prices continue to rise and are far from affordability.
Meanwhile, the Swiss government made it clear on Wednesday that will not tighten curbs on public life despite rising coronavirus cases.
As for now, traders are waiting for the US Balance of Trade, Unit Labour Costs QoQ Final, Initial Jobless Claims, and Nonfarm Productivity QoQ data to gauge the market sentiment.
USD/CHF additional levels