- The US dollar reaches new minimums in several years, with the Swiss Franco driven by the demand for safe refuge.
- Renewed concerns about commercial tariffs have crushed appetite for risk on Tuesday.
- The speech of the president of the FED, Powell, and the employment offers in the US will probably promote the pair later today.
The Swiss Franco is one of the best performances of the G8, in the midst of a greater demand for safe shelters as risk aversion increased during the European market session on Tuesday. The USD/CHF, as a result, has extended its decline to new minimums of 14 years in the 0.7900 area.
The comments of the president of the United States, Trump, highlighting the challenges to close a commercial agreement with Japan and the threats of the Secretary of the Treasury, Besent, of higher tariffs as of July 9 have crushed the appetite for the risk on Tuesday.
In the US, the uncertainty about the broad Trump fiscal bill, which is expected to add another 3.3 billion dollars to an already high US debt load, is feeding concerns and undermining the status of safe refuge of the US dollar.
The Swiss Franco is recovered despite mixed macroeconomic figures
Switzerland’s macroeconomic data has been mixed. Retail sales remained Planas in May, compared to expectations of a 0.8%increase, while April reading was reviewed down. Adjusted by the effects of sales and festivities, however, retail consumption fell 0.8% in May.
These figures have been compensated for a strong improvement in manufacturing activity. The PMI SVME rose to 49.6 in June, after a reading of 42.1 in the previous month and exceeding the expectations of a 44.0 reading.
Later today, the president of the Fed, Powell, will speak at a Sintra central banker summit, and US Jolts employment offers will begin a series of US labor indicators this week, which will end with the non -agricultural payroll report on Thursday. These figures will provide more clues about the next decisions of the Fed and will mark the direction of the US dollar.
Economic indicator
Real adjusted retail sales (yoy)
The adjusted retail sales report is done Swiss Statistics. This survey on goods sold in the last month is considered an indicator of the Economy of Switzerland and shows the performance of the retail sector in the short and medium term. A result superior to expectations is bullish for the Swiss Franco, while a reading lower than the market consensus is bassist.
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Last publication:
Mar Jul 01, 2025 06:30
Frequency:
Monthly
Current:
0%
Dear:
0.8%
Previous:
1.3%
Economic indicator
SVME Index of purchase managers
The data published by the Schweizerischer Verband Für Materialwirtschaft und Einkauf and Credit suisse Capture business conditions in the manufacturing sector. It is an important indicator of production growth in Switzerland. A result superior to expectations is bullish for the Franco, while a result lower than the market consensus is bassist.
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Last publication:
Mar Jul 01, 2025 07:30
Frequency:
Monthly
Current:
49.6
Dear:
44
Previous:
42.1
Fountain:
Trade Association for Purchasing and Supply Management
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
