Anna 
During the European trading session on Thursday, the USD/CHF pair maintained its downtrend, hovering near the 0.9000 level. The decline in the pair was driven by weakness in the US Dollar (USD), fueled by increasing speculations of multiple rate cuts by the Federal Reserve (Fed) in 2024.
The dovish sentiment surrounding the Fed was reinforced by recent economic data releases from the United States (US). The monthly Consumer Price Index (CPI) for April grew by a modest 0.3% month-over-month, falling short of expectations. Similarly, Retail Sales figures remained stagnant, failing to meet the anticipated 0.4% increase.
Minneapolis Federal Reserve Bank President Neel Kashkari added to the cautious tone by advocating for the maintenance of current policy rates until a clearer picture of underlying inflation emerges.
On the Swiss front, Producer and Import Prices (YoY) declined by 1.8% in April, a slight improvement from the previous month’s decrease of 2.1%. This marks the twelfth consecutive period of decline, albeit at the slowest rate since December 2023.
Looking ahead, market participants are eagerly awaiting the release of Switzerland’s Industrial Production (YoY) data for the first quarter, scheduled for Friday. This report will provide valuable insights into production volumes across various sectors, such as manufacturing and factories, within Switzerland. Traders will closely analyze this data for indications of economic activity and growth in the Swiss economy.
