The US dollar resumed its downtrend against the Swiss franc today, Wednesday, October 26, 2022. The mild recovery attempt witnessed during the European session has been capped at 0.9930, and the pair gave away gains later to test the 0.9855 area at the moment of writing.
The greenback is depreciating for the second consecutive day, with investors starting to price in a slowdown on the Federal Reserve’s tightening path. A recent batch of negative indicators in the US has boosted concerns about the impact of the Fed’s hawkish policy on economic growth.
The market is still awaiting a 75bps hike next week, although the expectations for December have been downgraded to a 0.50% hike. This is hurting the USD, which had been surging over the last months, propelled by the Fed’s radical tightening pace.