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The USD/CHF pair gathers strength to near 0.8640 during the early European session on Friday. The rebound of the US Dollar (USD) underpins the major pair ahead of the release of the US employment report, which is due later on Friday.The US economic data have surprised on the upside over the last two months, indicating that the US Federal Reserve (Fed) ought to be patient with its easing policy in its next meetings. Financial markets have priced in about a 90% possibility that the Fed will cut rates by 25 basis points (bps) next week, a reduction from the 50 basis points in September, according to the CME FedWatch tool. Nonetheless, the US central bank may take the upcoming Nonfarm Payrolls (NFP) data on Friday into consideration about the pace and size of rate reductions in November. The US economy is estimated to added 113K job additions in October, while the Unemployment Rate is expected to remain steady at 4.1% during the same period. Substantial job market cooling could prompt the Fed to react with more aggressive cuts, weighing on the USD. However, some labor weakness may be attributed to temporary distortions from Hurricane Helene. On the Swiss front, the risk-off mood amid the uncertainty surrounding the US presidential election next week and the ongoing geopolitical tensions in the Middle East could boost the safe-haven flows, benefiting the Swiss Franc (CHF). Authorities say two separate Hezbollah rocket attacks killed seven people in northern Israel, making it the worst day of such strikes in months, per the BBC. More By This Author:USD/CAD Trades With Mild Losses Below 1.3950, US NFP Data Looms USD/JPY Weakens Below 152.00, US NFP Data In Focus EUR/USD Extends Upside Above 1.0850, With All Eyes On US NFP Data
