USD/CHF remains above 0.8000 following improved Swiss Employment Level
USD/CHF inches higher after registering nearly 1% losses in the previous session, trading around 0.8020 during the Asian hours on Monday. The pair remains stronger following the improved Switzerland’s non-farm payrolls data.
Swiss Employment Level rose 0.6% year-on-year to 5.532 million in the second quarter, matching the pace of the previous period. The gain was largely supported by the services sector, which rose 0.9% to 4.402 million.
The Swiss government announced last week that it will intensify efforts to enhance the country’s appeal as a business hub after the US imposed 39% import tariffs on Swiss goods. Measures will include easing regulatory burdens for Swiss companies, with the government noting that costly new rules could be delayed.
The USD/CHF pair may lose ground as the US Dollar (USD) could struggle amid the rising likelihood of a US Federal Reserve (Fed) interest rate cut in September. Traders will likely await the upcoming release of the Q2 US Gross Domestic Product Annualized and July Personal Consumption Expenditures - Price Index data, the Fed's preferred inflation gauge.
Fed Chair Jerome Powell said, at the Jackson Hole symposium on Friday, that although unemployment is still low, pressures on the labor market are mounting and monetary policy remains “restrictive,” suggesting that adjustments could be necessary. He also highlighted shifts in tax, trade, and immigration policies as important forces reshaping the economic outlook.
Source : Fxstreet
