USD/CHF rebounds toward 0.9100 after hitting two-month lows

• Swiss franc among G10 top performers on Thursday.
• DXY falls 0.32%, under 91.00 as US yields hold onto negative territory.

The USD/CHF dropped further after the beginning of the American session and bottomed at 0.9069, the lowest level since early March. The decline took place amid a weaker US dollar but also amid a stronger Swiss franc that hit multi-month highs versus the euro.

Economic data from the US showed a decline below 500K in initial jobless claims for the first time since the pandemic. The positive number offered only a small boost to the greenback that later kept falling. On Friday, the Non-farm payrolls report is due with expectations of an increase of near one million jobs in April.

In Wall Street, equity prices are rising. The Dow Jones gains 0.48% and the Nasdaq climbs 0.05%. In the Treasury market, lower yields weighed on the dollar. The 10-year stands at 1.57% after testing the weekly low at 1.56%.

Consolidation with a bearish bias

The rebound in USD/CHF took place from the 100-day moving average that stands at 0.9070. The bias remains bearish but a close clear below 0.9080 is needed to clear the way to more losses. While above, the pair could continue to move sideways between 0.9080 and 0.9140. On the upside a firm break above 0.9150 would point to further strength.

Technical levels