Swiss Franc gains ground as easing US Yields pressures Greenback
USD/CHF extends its losses for the second successive day, trading around 0.8230 during Asian hours on Friday. The pair depreciates as the US Dollar (USD) faced challenges from falling oil prices, which helped ease broader inflation concerns.
The Swiss Franc has gained ground against the US Dollar as easing US yields have put pressure on the Greenback. This trend has been observed for two consecutive days, with the USD/CHF pair trading around 0.8230 during Asian hours on Friday. The depreciation of the USD can be attributed to falling oil prices, which have helped ease broader inflation concerns.
Consequently, US Treasury yields have retreated from their recent multi-year highs, with the benchmark 10-year yield falling to around 4.93%. Additionally, market attention has turned towards upcoming meetings between US President Donald Trump and Gulf leaders. However, downside pressure on the Greenback may be restrained following hawkish remarks from Fed Chair Kevin Warsh, who stated that inflation has remained too high for too long.
This has led to an adjustment in market expectations, with the CME FedWatch tool now indicating a 53.1% probability of another rate hike at the Federal Reserve's October meeting.
Brief written by urgent.news from FXStreet's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
