- The US dollar held above 0.9115 after reaching levels close to 0.9200.
- The dollar maintains its offered tone in the short term, from the five-year lows.
- The Swiss franc suffers as hopes for a COVID-19 cure increase appetite for risk.
The US dollar remains positive for the second day in a row against the Swiss franc as the pair’s intraday reversal from the session high of 0.91.75 has found support at 0.9125.
Swiss franc sinking in risk appetite
The dollar remains stable above 0.9100 after having appreciated about 1.8% in the past two days, rising from a five-year lows at 0.8980, driven by the spike in risk brought on by the news of a COVID-19 cure.
Pfizer’s promising vaccine results, which are 90% effective, boosted risk appetite on Monday, hurting demand for safe havens like the Swiss franc or the Japanese yen. In addition, the sharp rise in US Treasury yields, which reached their highest level since March, provided further upward traction to the USD.
On the macroeconomic front, the US calendar has shown mixed figures. The NFIB Business Optimism Index has remained flat at 104 in October, against market expectations of a deterioration to 102, while JOLTS job openings rose to 6.436 million from 6.352 million in September, disappointing the market consensus. of 6.5 million. The impact of these figures, however, has been practically ignored by the market.
Credits: Forex Street
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