USD/CHF rises above 0.9650 as DXY advances to 3-week highs

• Broad-based USD strength boosts the pair in the second half of the day.
• Wall Street trades mixed on Thursday.
• Upbeat macroeconomic data helps greenback gain traction.

Following a drop to a fresh weekly low of 0.9935, the USD/CHF pair reversed its course in the NA session rose to 0.9975. As of writing, the pair was up 0.2% on the day at 0.9967.

The greenback's market valuation on Thursday seems to be the primary driver of the pair's price action. After edging lower toward the 96 handle earlier in the day when the euro grabbed investors' attention during the ECB press conference, the US Dollar Index rebounded decisively in the last hours and advanced to its highest level since early January at 96.66.

The upbeat readings seen in the IHS Markit's Manufacturing and Services PMI reports alongside the lowest weekly jobless claim in 50 years helped the buck outperform its rivals. Additionally, comments from Trump administration officials suggested that the U.S. and China were both looking to reach a trade agreement provided an additional boost to the currency. At the moment, the US Dollar Index is up 0.55% on the day at 96.64.

On the other hand, major equity indexes in the U.S. struggle to push higher in the session to show that the market sentiment hasn't turned positive yet, which makes it difficult for the pair to extend its rally at the moment.

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