#CurrencyPairPrediction Carry Trade Flows and Their Impact on USD/CHF – Short Summary: Carry trade involves borrowing in low-yielding currencies (like the Swiss franc, CHF) and investing in higher-yielding ones (like the U.S. dollar, USD). When global risk appetite is strong, investors engage more in carry trades, selling CHF and buying USD, which drives USD/CHF higher. Conversely, during market stress or risk aversion, investors unwind these trades, buying back CHF and selling USD, which strengthens the franc and pushes USD/CHF lower. Thus, carry trade flows can significantly influence USD/CHF, especially in relation to interest rate differentials and global risk sentiment.