USD/CHF Rebounds, But Geopolitical Pressure and Swiss Data Remain Concerns
The USD/CHF pair halted a three-day losing streak and traded around 0.7910 in Asian trading on Wednesday. This gain occurred as the US dollar recovered from daily losses, although markets remained wary of geopolitical tensions related to the United States and Greenland.
Sentiment toward the US dollar remained limited as concerns about a "sell America" escalated. The Swiss franc, considered a safe haven, received support from rising global risk aversion. US President Donald Trump reiterated his ambitions regarding Greenland and threatened new tariffs against eight European Union countries, fueling concerns about slowing economic growth. Furthermore, the European Union is considering retaliatory measures against trillions of dollars of US assets, including potential tariffs on $93 billion worth of US goods.
Meanwhile, the US dollar received some support from strong US labor market data, which deferred expectations of further interest rate cuts by the Federal Reserve. Meanwhile, Switzerland recorded producer deflation in December 2025, with producer prices falling 1.8% year-on-year, deepening the decline in the previous month. This situation has led the market to remain cautious regarding USD/CHF movements in the near term. (az)
Source: Newsmaker.id
