CHFTRY BULLS STRONGUSD/CHF has slipped strongly as investors have shrugged-off uncertainty associated with the Fed interest rate outlook.
Investors have shrugged-off uncertainty associated with the hawkish interest rate outlook from Fed policymakers.
SNB Maechler commented that further hikes in interest rates cannot be ruled out.
The USD/CHF pair has witnessed an intense sell-off, following the footprints of the declining US Dollar Index (DXY) in the European session. The Swiss Franc asset has slipped sharply to near 0.8950 as investors have shrugged-off uncertainty associated with the hawkish interest rate outlook from Federal Reserve (Fed) policymakers and upcoming Employment data.
S&P500 futures have recovered nominal losses posted in London, however, the overall market sentiment is bearish. The US Dollar Index (DXY) has slipped vertically to near 103.00 despite more interest rate hikes from the Fed being highly likely.
Turkish lira fell to new marginally lower record low in early Wednesday, as Turkish June inflation data sparked fresh weakness of the currency.
Monthly inflation rose by 3.9% in June, below 4.8% consensus and annualized figure was also below expectations (38.2% in June vs 39.4% f/c), while consumer prices were slightly below previous month’s figure (June PPI 40.4% vs May 40.7%).
Inflation remains elevated, though significantly below last October’s 85.5%, the highest in over two decades.
Turkish lira fell sharply in June (down over 20% vs US dollar, the biggest monthly fall on a record), following re-election of President Erdogan and despite CBRT’s new leadership and turn towards more orthodox approach to monetary policy, as the central bank already raised interest rates after a cycle of cutting rates last year.
Trend Bullish
