It slides right over it on opening and on closing. That 'hump' shape on the top (front, when open) of the peep sight makes a nice little cam of sorts.

It's very easy to work with the right thumb while maintaining hand position. It clicks shut neatly and opens with a slight rightward shift of that little button, allowing it to spring forward. Once open, it will reset itself as you work the bolt unless you press the sight closed.

When I've used the peep while target shooting (taking my time), I often close it, then work the bolt, but only to preserve the finish.

'Prewar' Mannlicher Schönauer rifles were made like fine watches. The bolt and magazine are smoother than grease on hot glass. The single trigger on the takedown model is an adjustable 'military pull' two stage. Doubles can be set to a 'hair'.