USD/CHF climbs to fresh highs above 0.9800

THE USD/CHF pair has extended its weekly gains to 1.98% after the Fed and SNB monetary policy decisions. The major break above the 0.9600-0.9700 range, registering a fresh weekly high at 0.9851.

The pair advanced during Friday’s US session, gaining 0.60%, courtesy of a risk-off impulse spurred by fears of a global economic slowdown and the Fed’s aggression as the US central bank struggles to temper inflation from around 40-year highs. At the time of writing, the USD/CHF is trading at 0.9816.

The central bank frenzy witnessed the Fed and the SNB hiking rates. Even though the SNB finished the period of negative rates, it wasn’t enough, according to market participants, which bought the USD/CHF, lifting the pair towards fresh weekly highs around 0.9851. Buyers have been unable to crack last week’s high at 0.9869, which could open the door for further gains.