USD/CHF holds positive ground above 0.9100 on firmer US Dollar

• USD/CHF gains ground to near 0.9110 in Monday's early European session. 
• The upbeat US employment data for January supports the US Dollar. 
• The uncertainty and ongoing Middle East geopolitical tensions could boost the safe-haven currency like the CHF. 

The USD/CHF pair gathers strength to around 0.9110 during the early European session on Monday. The US Federal Reserve (Fed) is expected to keep interest rates hold this year after the US January employment data, supporting the Greenback. Fed's Chair Powell testifies will be the highlight on Tuesday. Later on Wednesday, US Consumer Price Index (CPI) inflation data will be in focus. 

The US Dollar Index (DXY), which measures the USD against six other units, currently trades near 108.20, gaining 0.14% on the day. The US economy created 143K new jobs in January, missing economists' estimates of 170K jobs. However, the Unemployment Rate declined to 4.0% in January from 4.1% in December.

Furthermore, analysts said that tariff policies by the Trump administration could be inflationary and put further pressure on the Fed to keep interest rates elevated. Markets are pricing in 36 basis points (bps) of cuts this year, down from 42 bps after an upbeat payrolls report on Friday. This, in turn, contributes to the USD's upside. 

The Swiss Franc (CHF) could appreciate in the coming months as the Swiss National Bank (SNB) is unlikely to return to negative interest rates, Commerzbank analyst Michael Pfister said in a note. The SNB might end its rate-cutting cycle with a policy rate of 0.0%, compared with 0.5% currently. Meanwhile, the global economic uncertainty and the ongoing geopolitical tensions in the Middle East could boost the safe-haven flows, benefiting the CHF.