The USD to CHF exchange rate is currently range-bound.
Recent developments suggest several key drivers impacting this pair. The Federal Reserve is anticipated to cut interest rates multiple times by mid-2026, which may weaken the USD. Meanwhile, the Swiss National Bank's recent rate cuts and lower inflation rates could bolster demand for the CHF. Additionally, geopolitical factors such as the US tariffs on Swiss exports threaten Switzerland's economy, complicating the local currency's outlook.
The trading range for USD/CHF is likely to remain within a stable range, reflecting its current levels.
An upside risk includes a reversal in Federal Reserve policy that could strengthen the USD, while a downside risk is the potential for renewed tariffs or other trade tensions that could exacerbate pressure on Swiss exports and hurt the CHF.