• USD/CHF resumes upside journey amid cautious market mood.
• The US Dollar Index climbs to near 102.30 as wage growth remained sticky in July.
• US inflation could turn out stubborn as global oil prices recovered sharply last month.

The USD/CHF pair resumes its upside journey after a mild correction in the London session and is approaching the round-level resistance of 0.8800. The Swiss Franc asset strengthens as market sentiment turns bearish ahead of the United States Consumer Price Index (CPI) data, which will be published on Thursday at 12:30 GMT.

S&P500 futures generate decent gains in Europe as institutional investors raise Q3 Gross Domestic Product (GDP) forecasts. JP Morgan estimates July-September real annualized GDP at 2.5% vs. the prior forecast of 0.5%. US equities were under pressure on Friday as Nonfarm Payrolls (NFP) report demonstrated a slowdown in the hiring process, portraying concerns about forward demand.

The US Dollar Index (DXY) climbs to near 102.30 as wage growth remained sticky in July. Monthly and annual Average Hourly Earnings remained stable at 0.4% and 4.4% respectively but higher than expectations. Persistence in the US wage growth could force the Federal Reserve (Fed) to raise interest rates further.

This week, investors will focus on the mega event of the Consumer Price Index (CPI) for July. US inflation could turn out stubborn as global oil prices recovered sharply last month on expectations that interest rates by central banks are peaking now. This could elevate gasoline prices and eventually higher burden on US households.

Meanwhile, the Swiss Franc fails to find strength despite a steady Unemployment Rate for July. The monthly jobless rate remains unchanged at 1.9% despite higher interest rates by the Swiss National Bank (SNB). SNB Chairman Thomas J. Jordan is expected to tighten interest rate policy further as the consequences of a higher-inflation environment are higher than a low-inflation scenario.