After closing the last day of the previous week in the negative territory, the USD/CHF pair edged lower on Monday and touched its worst level in nearly two weeks at 0.9155. As of writing, the pair was down 0.45% on the day at 0.9168.
- USD/CHF starts the week on the back foot.
- US Dollar Index is staying under modest bearish pressure.
- US economic docket will feature September PMI data.
The selling pressure surrounding the greenback at the start of the week seems to be causing USD/CHF to stays under bearish pressure.
The improving market sentiment on reports suggesting that US President Donald Trump could be discharged from the hospital on Monday is weighing on the greenback. At the moment, the S&P 500 futures are up 0.65% on the day, suggesting that Wall Street's main indexes are likely to open the day decisively higher. Meanwhile, the US Dollar Index (DXY), which tracks the USD's performance against a basket of six major currencies, is down 0.18% on the day at 93.65.
Later in the day, the IHS Markit and the ISM will release the Services PMI reports for September. Markets expect both data to show an ongoing expansion in the service sector's business activity at a robust pace. Better-than-expected PMI readings could provide an additional boost to risk sentiment and put additional weight on the USD's shoulders.
On the other hand, the greenback could stage a recovery if the market mood sours in the second half of the day and help USD/CHF erase its losses.
