USD/CHF Holds Near 0.8800 as Markets Await US-Iran Deal

The Swiss franc is holding steady near 0.8800 versus the US dollar on May 22, with traders adopting a cautious stance ahead of potential developments in US-Iran talks. The pair showed limited reaction to the previous day’s weak Swiss industrial production data, which fell 0.6% month-on-month against expectations of a 0.2% gain, while annual output growth slowed to 1.1% from a revised 2.4%. Safe-haven flows and the SNB’s accommodative policy continue to support the franc, while resilient US data bolsters the dollar. Markets are now focused on geopolitical clarity that could trigger a breakout from the 0.8750-0.8850 range.