Swiss Franc Recovers as ZEW Data Lifts Against USD

The Swiss Franc (CHF) has seen a partial recovery in its value against the US Dollar (USD) following stronger-than-expected data from the Swiss ZEW Economic Expectations Index. The index rose to 12.1 in August, marking its strongest reading in nine months and a second consecutive monthly gain.

The USD/CHF pair was up about 0.2% on the session but retreated below 0.8930 after touching intraday highs near 0.8940. The move keeps the pair confined within Tuesday's trading range.

Market attention is now focused on the upcoming release of the US Personal Consumption Expenditures (PCE) Price Index, which is expected to show a 0.2% core monthly print. Analysts at ING anticipate that the Dollar will remain largely stable around the core PCE release.