After closing flat on Monday, the USD/CHF is creeping slightly higher.
Above 92.30, the US Dollar Index remains in positive territory.
The ISM and IHS Markit Services PMI data for June will be released.
Due to the US Independence Day vacation, trading conditions were sparse on the opening day of the week, and the USD/CHF pair closed flat. The pair soared to a daily high of 0.9246 on Tuesday as the greenback gained strength before consolidating. At the time of writing, the pair was trading at 0.9228, up 0.1 percent on the day.
The US Dollar Index, which closed stable a little above 92.20 on Monday, is moving higher on Tuesday, helping USD/CHF maintain in positive territory despite a lack of fundamental drivers. The US Dollar Index is currently trading at 92.34, up 0.12%.
IHS Markit will announce its final June Services PMI and Composite PMI readings later in the session. What’s more, the ISM will also release the Services PMI data. Market investors will be paying particular attention to the Prices Paid section of the ISM report. If this data indicates that input price pressure in the service sector is growing, the dollar may continue to outperform its peers in the second half of the day.
While looking through this information, “After the dollar corrected to the downside, the ISM Services PMI and its all-important Prices Paid component are expected to fall. A slight surprise, particularly in the inflation metric, might fuel the dollar advance “Yohay Elam, an FXStreet analyst, agreed.
Why the inflation component of the ISM Services PMI could ignite a dollar rally./n
