USD/CHF gains ground to near 0.8730 in Friday’s early European session. 
The Fed cut interest rates by a quarter point at the November meeting on Thursday. 
The safe-haven flows could underpin the Swiss Franc. 
The USD/CHF pair drifts higher to around 0.8730 during the early European session on Friday. The renewed Greenback demand provides some support to the pair. Traders brace for the advanced US Michigan Consumer Sentiment data for November and the speech from the Federal Reserve’s (Fed) Michelle Bowman later on Friday.The US Fed on Thursday decided to cut its borrowing costs by 0.25 basis points (bps),  half the size of its September reduction, bringing down the federal funds rate to a range of 4.5% to 4.75% from its current 4.75% to 5%

USD/CHF gains ground to near 0.8575 in Wednesday’s early European session. 
Reduced bets of a jumbo Fed rate cut in November support the USD ahead of the FOMC Minutes. 
The escalating Middle East geopolitical tensions might cap the pair’s upside. 
The USD/CHF pair trades on a stronger note to around 0.8575 during the early European session on Wednesday. The firmer US Dollar (USD) amid diminishing odds for more aggressive rate cuts by the Federal Reserve (Fed) underpins the pair. The release of the Federal Open Market Committee (FOMC) Minutes will take center stage later on Wednesday. The stronger-than-expected jobs report last Friday lifts the Greenback and had markets tempering the expected scale of upcoming interest rate reductions. Boston

Iran launched over 200 ballistic missiles at Israel on Tuesday. The attack began at 7:30 p.m. Israel time, after the US had warned just hours before that a strike was imminent. The Israel Defence Forces reported several of the missiles were intercepted, and reports said one person was killed in the West Bank, per Bloomberg. Israeli Prime Minister Benjamin Netanyahu vows to retaliate against Iran for a missile attack on Tuesday, but Tehran warned that any response would result in "vast destruction," fuelling fears of a wider war.

Market reaction

At the time of press, the Gold price was down 0.06% on the day at $2,661.  

Risk sentiment FAQs

In the world of financial jargon the two widely used terms “risk-on” and “risk off” refer to the

Israel announced a “limited” ground operation against Hezbollah targets in the border area of southern Lebanon, sending its soldiers across the border, per local news agency Aljazeera. Israeli warplanes carried out massive strikes on Beirut’s southern suburbs after civilians were ordered to leave. At least 95 people were killed on Monday by Israeli attacks on Lebanon. 

Market reaction

At the time of press, the Gold price was up 0.02% on the day at $2,635. 

Risk sentiment FAQs

In the world of financial jargon the two widely used terms “risk-on” and “risk off” refer to the level of risk that investors are willing to stomach during the period referenced. In a “risk-on” market, investors are optimistic about the future and more willing to

Israel’s killing of Hezbollah leader Hassan Nasrallah has further fuelled geopolitical tensions in the Middle East and intensified the war at its border with Lebanon. The Iran-backed militant group says it will continue to fight, even as a growing number of senior Hezbollah figures have been killed, per CNN.Airstrikes hit Beirut in the early hours of Monday morning, marking the first time attacks landed within the city limits of the Lebanese capital since the war started in October last year.

Market reaction

At the time of press, the Gold price was up 0.23% on the day at $2,664.

Risk sentiment FAQs

In the world of financial jargon the two widely used terms “risk-on” and “risk off” refer to the level of risk that investors are willing

Indian Rupee gathers strength in Wednesday’s early European session. 
Improved risk appetite and a weakening USD support the INR. 
Investors await the US August New Home Sales and Fed’s Kugler speech on Wednesday. 
The Indian Rupee (INR) edges higher on Wednesday. Improved risk appetite following China’s stimulus measures and the softer US Dollar (USD) boost the local currency on the day. Nonetheless, rising crude oil prices, outflows related to a rejig of the FTSE equity indexes and renewed USD demand from large Indian importers might exert some selling pressure on the INR. The US New Home Sales data for August is due on Wednesday. Traders will take more cues from the US Federal Reserve’s (Fed) Governor Adriana Kugler speech. Any dovish

The Swiss National Bank (SNB) Chairman Thomas Jordan on Thursday acknowledged difficulties that the strong Swiss Franc is causing for Swiss industry, which is already dealing with weaker demand from other European countries, per Reuters.  

Key quotes

The mandate of the SNB is to maintain price stability—a crucial precondition for society and a good functioning economy. Price stability is a crucial precondition for prosperity.Germany and Europe are the main markets for industry. If the growth is weak there, this automatically affects demand for our industrial goods. The exchange rate … does not make the situation easier. It makes it difficult for the industry, 

Market reaction

At the time of press, the USD/CHF pair was down 0.03% on the

Russia carried out several air attacks on Ukraine this week, costing Moscow an estimated £1.1 billion. Meanwhile, Ukraine has warned it is closely watching on its border with Belarus after a recent buildup of troops there, according to Sky News. 

Last week, Kyiv’s foreign ministry accused Minsk of concentrating a "significant number of personnel" in the Gomel area near Ukraine’s northern border "under the guise of exercises." 

Market reaction

At the time of writing, the gold price (XAU/USD) is trading 0.12% lower on the day to trade at $2,518. 

Risk sentiment FAQs

In the world of financial jargon the two widely used terms “risk-on” and “risk off” refer to the level of risk that investors are willing to stomach during the period

USD/CHF loses traction around 0.8590 in Thursday’s early European session, down 0.30% on the day. 
The US Fed is expected to cut rates more aggressively beginning in September.
Strong safe-haven demand benefits the Swiss Franc against the Greenback. 
The USD/CHF pair drifts lower to near 0.8590 during the early European session on Thursday. The Swiss Franc (CHF) gains traction from the unwinding of carry trades and escalating geopolitical tensions in the Middle East. Investors await the weekly US Initial Jobless Claims on Thursday for fresh impetus.Investors have fully expected the US Federal Reserve (Fed) to start easing its monetary policy in September, with 50 basis points (bps) cuts in both September and November, and another

USD/CHF holds positive ground near 0.8840 in Thursday’s early European session. 
Fed’s Waller said that central bank is nearing rate cuts if there are no major surprises in inflation, employment data.
The rate cuts expectation by the SNB might drag the US Dollar lower. 
The USD/CHF pair trades on a positive note around 0.8840, snapping the two-day losing streak on Thursday during the early European trading hours. The modest rebound of the US Dollar (USD) provides some support to the pair. Looking ahead, traders will take more cues from the weekly Initial Jobless Claims and Philly Fed Manufacturing Index. The recent dovish comments from Federal Reserve (Fed) officials boost bets of a US interest rate cut in September and might cap the upside