The USD/CHF pair softens to around 0.8875 on Monday during the early European session
The USD/CHF pair weakened to around 0.8875 on Monday during the early European session, pressured by a weaker US Dollar (USD). Investors will be looking forward to the Swiss Industrial Production for the third quarter (Q3) and Federal Reserve (Fed) Austan Goolsbee’s speech later on Monday.
The US dollar weakened as Trump Trades lost momentum. However, encouraging US economic data and cautious comments from Fed officials could limit the pair’s decline.
On Friday, Boston Fed President Susan Collins stated that monetary policy remains tight and a rate cut is still on the table for December, but the final decision will be based on incoming data.
Meanwhile, Chicago Fed President Austan Goolsbee said that markets tend to overreact to interest rate changes and that the Fed should maintain a slow and steady approach to reaching neutral rates.
Data released by the Commerce Department’s Census Bureau on Friday showed that U.S. Retail Sales increased by 0.4% in October, following a 0.8% increase in September (revised from 0.4%), beating estimates of 0.3%.
On the other hand, renewed geopolitical tensions between Russia and Ukraine could boost safe-haven currencies such as the Swiss Franc (CHF).
Source: FXStreet
