USD/CHF Recovers Slightly Off Weekly Lows, Remains Below 0.7950

USD/CHF Recovers Slightly Off Weekly Lows, Remains Below 0.7950

The USD/CHF pair shows a modest recovery during the Asian session on Thursday, rebounding from a fresh weekly low near 0.7940. Despite the rebound, the pair remains subdued, reflecting mixed market cues and limited bullish momentum.

Safe-Haven Demand for CHF Weakens

The Swiss Franc (CHF) sees a reduction in safe-haven bids as Asian equities follow the US stock market rally, which reduces market anxiety. This allows the USD/CHF to edge higher, although the upside remains capped near 0.7950.

USD Sees Modest Support from Rate Cut Doubts

The US Dollar (USD) finds slight relief after FOMC Minutes released Wednesday left the July rate cut off the table, though a reduction later in the year remains possible. While this helps keep the Dollar from weakening further, it fails to spark any strong buying interest.

“Trade tensions and expectations of a more accommodative Fed later in 2025 may keep bulls cautious,” analysts noted.

Market Outlook

The near-term trajectory for USD/CHF remains clouded by:

• Lingering trade-related risks.
• Uncertainty over the Fed's policy path.
• Lack of clear technical signals beyond sub-0.8000 resistance.