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The USD/CHF pair extends its recovery around 0.8480 on Friday during the early European trading hours. The uptick of the pair is supported by the stronger US Dollar (USD) after the stronger-than-expected US growth number. Traders will shift their attention to the US Personal Consumption Expenditure (PCE) inflation data on Friday, which might offer some hint about the US interest rate outlook.The US Gross Domestic Product (GDP) expanded faster than expected in the second quarter, reducing bets for a larger 50 basis points (bps) rate cut by the Federal Reserve (Fed) in September and lifting the Greenback. In the second estimate of GDP released by the Bureau of Economic Analysis (BEA) on Thursday, US GDP grew at a 3.0% annualized rate in Q2 from 2.8% in the initial estimate. Elsewhere, US Initial jobless claims fell to 231,000 for the week ended August 24, below the 232,000 estimated. The headline Personal Consumption Expenditures (PCE) Price Index is projected to show an increase of 2.6% YoY in July. The Fed’s preferred inflation gauge, as measured by the core PCE, is estimated to rise to 2.7% YoY in July from 2.6% in June. The hotter-than-expected reading could dampen the expectation of a larger Fed rate cut and underpin the USD.On the Swiss front, data released by the KOF Swiss Economic Institute revealed that the country’s KOF Leading Indicator came in at 101.6 in August versus 101.0 in July, better than the estimation of 100.6. Meanwhile, the ongoing geopolitical tensions in the Middle East and Russia-Ukraine might boost the safe-haven currency like the Swiss Franc (CHF). The Sky News reported late Thursday that Russia carried out several air attacks on Ukraine this week, costing Moscow an estimated USD1.3 billion. Meanwhile, Ukraine has warned it is closely monitoring its border with Belarus after a recent buildup of troops there.More By This Author:Gold Price Struggles To Gain Ground Ahead Of US PCE Data EUR/USD Trades With Mild Gains Above 1.1050 Ahead Of German Retail Sales, US PCE Data Gold Price Drifts Higher Ahead Of US GDP Data
