USD/CHF leans bearish towards 0.9550 on downbeat options market signals

USD/CHF remains depressed around the intraday low, taking rounds to 0.9555 during the three-day downtrend to Tuesday’s Asian session. In doing so, the Swiss currency (CHF) pair traces options market signals while favoring bears.

That said, the one-month risk reversal (RR) of the USD/CHF, a spread between the calls and the puts, fails to extend the previously weekly rebound with the latest RR being -0.030. In addition to the RR, the softer US dollar and the CHF’s safe-haven status also appear to weigh on the USD/CHF prices. It’s worth noting that the US Dollar Index (DXY) stays pressured at around 103.95 after declining for the last two consecutive days.

The risk appetite, however, remains cautiously optimistic as the S&P 500 Futures print mild gains while the US 10-year Treasury yields probe a two-day rebound around 3.19% by the press time.