The USD/CHF pair struggled to build on its positive momentum and has now surrendered the majority of its early gains, closer to over one-week tops. For the second consecutive session, the pair met with some fresh supply near the 0.9950-60 region and was being capped by escalating US-China trade tensions after the Trump administration threatened to impose additional tariffs on around $200 billion worth of Chinese imports. This coupled with a global wave of risk-aversion trade, evident from a sea of red across equity markets, extended some additional support to the Swiss Franc's safe-haven appeal and further collaborated towards keeping a lid on the pair's up-move. Moreover, the latest leg of sharp fall of around 30-35 pips over the past hour or so could be attributed to a modest US Dollar retracement, led by a sharp spike in the EUR/USD major on the back of the latest ECB headlines. Meanwhile, traders seem to have largely negated today's hotter-than-expected US PPI print for June, coming in to show m/m rise of 0.3%. The yearly rate jumped a whopping 3.4%, the highest since Nov. 2011 but did little to revive the USD demand. (source: fxstreet)