USD/CHF steadies above 0.8250 as SNB Chairman flags concern over strong Swiss Franc and low inflation
The post USD/CHF steadies above 0.8250 as SNB Chairman flags concern over strong Swiss Franc and low inflation appeared on BitcoinEthereumNews.com. USD/CHF hovers near 0.8280 after Tuesday’s nearly 1% rally, supported by a firm US Dollar. The US Dollar Index DXY remains firm near 99.60 ahead of the release of the FOMC minutes later on Wednesday. SNB Chairman says negative inflation is possible, but the central bank’s focus is on medium-term price stability. The Swiss Franc (CHF) is moving sideways against the US Dollar (USD) on Wednesday, with the USD/CHF pair hovering near the previous day’s high after a solid almost 1% climb driven by renewed US Dollar strength. At the time of writing, the USD/CHF pair is trading slightly lower from intraday highs but maintains a foothold above the key 0.8250 psychological mark, last seen around 0.8275 during the European session. Similarly, the US Dollar Index (DXY), which measures the value of the Greenback against a basket of six major currencies, remains steady. Upbeat US Consumer Confidence data released on Tuesday added to the Dollar’s strength, helping the DXY to hold firm near 99.50 ahead of the FOMC minutes due later in the day. However, demand for traditional safe-haven assets, such as the Swiss Franc, remains underpinned by lingering US fiscal concerns, ongoing global trade uncertainties, and the unresolved geopolitical crisis between Russia and Ukraine. Adding to the cautious mood, Swiss National Bank (SNB) Chairman Martin Schlegel cited subdued inflation, a strong Swiss Franc, and increasing market volatility as growing risks to price stability while speaking at an event in Basel. This reinforces the central bank’s readiness to take further action on it. Schlegel noted that “even negative inflation figures cannot be ruled out in the coming months,” but added that this would not necessarily prompt a policy response. “The SNB does not necessarily have to react to this. Our focus is not on the current rate of inflation, but…
The post USD/CHF steadies above 0.8250 as SNB Chairman flags concern over strong Swiss Franc and low inflation appeared on BitcoinEthereumNews.com.
USD/CHF hovers near 0.8280 after Tuesday’s nearly 1% rally, supported by a firm US Dollar. The US Dollar Index DXY remains firm near 99.60 ahead of the release of the FOMC minutes later on Wednesday. SNB Chairman says negative inflation is possible, but the central bank’s focus is on medium-term price stability. The Swiss Franc (CHF) is moving sideways against the US Dollar (USD) on Wednesday, with the USD/CHF pair hovering near the previous day’s high after a solid almost 1% climb driven by renewed US Dollar strength. At the time of writing, the USD/CHF pair is trading slightly lower from intraday highs but maintains a foothold above the key 0.8250 psychological mark, last seen around 0.8275 during the European session. Similarly, the US Dollar Index (DXY), which measures the value of the Greenback against a basket of six major currencies, remains steady. Upbeat US Consumer Confidence data released on Tuesday added to the Dollar’s strength, helping the DXY to hold firm near 99.50 ahead of the FOMC minutes due later in the day. However, demand for traditional safe-haven assets, such as the Swiss Franc, remains underpinned by lingering US fiscal concerns, ongoing global trade uncertainties, and the unresolved geopolitical crisis between Russia and Ukraine. Adding to the cautious mood, Swiss National Bank (SNB) Chairman Martin Schlegel cited subdued inflation, a strong Swiss Franc, and increasing market volatility as growing risks to price stability while speaking at an event in Basel. This reinforces the central bank’s readiness to take further action on it. Schlegel noted that “even negative inflation figures cannot be ruled out in the coming months,” but added that this would not necessarily prompt a policy response. “The SNB does not necessarily have to react to this. Our focus is not on the current rate of inflation, but…
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