USD/CHF retreats modestly from daily highs, stays in positive territory above 0.9150

• USD/CHF rose to a daily high of 0.9177 on Thursday.
• US Dollar Index is moving sideways a little below 93.00.
• Eyes on weekly Initial Jobless Claims and Q2 GDP data from US.

The USD/CHF pair registered small daily gains on Wednesday and preserved its bullish momentum on Thursday. After rising to a daily high of 0.9177, however, the pair retreated modestly and was last seen rising 0.26% on the day at 0.9160.

Rising US T-bond yields lift USD/CHF

The sharp upsurge witnessed in US Treasury bond yields helped USD/CHF push higher despite the fact that the greenback struggled to outperform the majority of its rivals. The US Dollar Index closed in the negative territory on Wednesday and was last seen trading flat at 92.86.

Meanwhile, the benchmark 10-year US Treasury bond yield rose 3.6% on Wednesday and reached its highest level in nearly two weeks at 1.358% on Thursday.

Later in the session, the US Bureau of Economic Analysis will release its second estimate of the second-quarter GDP growth, which is expected to be revised higher to 6.7% on a yearly basis from 6.5%. The US Department of Labor's weekly Initial Jobless Claims data will be featured in the US economic docket as well.

Meanwhile, Goldman Sachs analysts said in a recently published report that they expect the CHF to weaken in the coming months.

USD/CHF: Fundamental outlook points to a weaker Swiss franc – Goldman Sachs.

Technical levels to watch for