USD/CHF remains below 0.9150 as US Treasury yields rebound

• USD/CHF prints milder gains on Thursday in the Asian session.
• Higher US Treasury yields underpin the demand for the US dollar.
• The Swiss franc losses part of its gain as risk lingers on supply-chain issues.

USD/CHF consolidates gains in the Asian trading hours on Thursday. After testing the high at around 0.9158 in the previous session’s, the pair retraced back and made a low of 0.9127 in the initial trading session.

At the time of writing, USD/CHF is trading at 0.9137, up 0.02% for the day.

The US Treasury yields trade higher at 1.34% with 0.38% gains. The US Dollar Index (DXY) diverges from the benchmark 10-year yields movement and trades below 93.00, which capped the gains for USD/CHF.

US Durable Goods Orders fell 0.1% in July, less than market forecast at a 0.3% drop.

On the other hand, the Swiss Franc came under pressure after a sentiment index by Credit Suisse plunged by 51 points approx. in August to -7.8, which suggested that the Swiss economy was at risk of an abrupt end to the resurgence of the pandemic in the US and China. This, in turn, would disrupt the supply chain issues for an export-reliant economy.

It is worth noting that S&P 500 Futures were trading at 4,496, up 0.22%, hit an all-time high in the US session.

As for now, traders are waiting for the US Gross Domestic Product (GDP) index, Corporate Profits, and Initial Jobless Claims data to gauge the market sentiment.

USD/CHF additional levels