Forex
US Dollar Holds Losses as Inflation Concerns Boost Swiss Franc
The US Dollar (USD) is holding onto losses despite a hawkish tone surrounding the Federal Reserve's policy outlook. Traders are pricing in about a 60% chance of an interest rate hike at the US central bank's upcoming policy meeting, according to the CME FedWatch Tool.
The USD/CHF pair has lost ground for the third consecutive day, trading around 0.8090 during Asian hours on Wednesday. The Swiss Franc is benefiting from rising oil prices and intensified inflation concerns.
Rising crude oil prices have climbed following a US strike on several Iranian tankers near Kharg Island, a major export hub. This has heightened geopolitical tensions and stoked market concerns regarding potential disruptions to global oil supplies.