When a host does a DHCPDISCOVER, the Source IP is going to be 0.0.0.0.
From your setup, it sounds like a L2 connection between Sw1 and Sw2 meaning the source ip address will stay as all zeros.
Once it hits Switch 2, and the IP Helper gets invoked, the Source IP will change to the interface IP address before the frame is forwarded to the DHCP Server.
According to this guide, the GI Address also changes to be Switch 2's interface IP once the IP Helper is invoked:
http://www.cisco.com/c/en/us/support/docs/ip/dynamic-address-allocation-resolution/27470-100.html