Skip to content USDCHF Declines as SNB Likely to Cut Rates Again
The Swiss Franc is valued at approximately 0.864 against the USD, marking its weakest point since mid-August. This drop is mainly due to the strengthening of the US dollar, driven by anticipation of the upcoming US presidential election and a slower pace of monetary easing by the Federal Reserve.
The USD/CHF 4-hour price chart below demonstrates the price, support, and resistance levels.
This adjustment follows a sequence of unexpectedly robust US economic reports. Simultaneously, a consistent slowdown in Switzerland’s inflation has led to expectations that the Swiss National Bank (SNB) may reduce interest rates again at its December meeting.
September Sees Inflation Drop to 3-Year Low at 0.8%
In September, inflation fell for the third consecutive month to 0.8%, the lowest in more than three years, decreasing from 1.1% in August. Last September, the central bank reduced its key rate by 0.25% to 1%, marking the third reduction in a row. The bank also hinted at the possibility of further rate cuts soon due to a notable decrease in inflationary pressures.
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