Fed minutes reveal divided policymakers on rate cuts, lifting hike odds to over 30% and pressuring the USD.
The USD/CHF pair extended losses for a second session, trading near 0.8070 in Asian hours as the US Dollar weakened. Fed minutes from the June meeting showed policymakers split, with some expecting rates to hold or fall slightly and others anticipating hikes by year-end.
Swap traders now price a 30% chance of a Fed hike at the next meeting, up from under 20% last week. The Swiss Franc found support from safe-haven demand amid inflation concerns, while the SNB signaled readiness to act if needed.
Geopolitical tensions, including US-Iran clashes, could boost the USD as a safe haven, though the Franc remains resilient.