EUR/CHF flat near 0.9300 as markets digest Eurozone CPI, Swiss data awaited

EUR/CHF holds steady as markets digest preliminary Eurozone inflation data.
Cooling annual inflation supports the ECB’s wait-and-see stance on interest rates.
Focus shifts to Swiss CPI on Thursday for fresh clues on the SNB outlook.

Vishal Chaturvedi FXStreet

The Euro (EUR) holds firm against the Swiss Franc (CHF) on Wednesday as traders digest the latest preliminary Eurozone inflation figures. At the time of writing, EUR/CHF is trading around 0.9302, little changed on the day.

Data released earlier in the day by Eurostat showed that Eurozone inflation remained broadly stable at the end of 2025. The Harmonized Index of Consumer Prices (HICP) rose 2.0%YoY in December, matching market expectations and easing from 2.1% in November. On a monthly basis, headline inflation rose 0.2%, reversing November’s 0.3% decline.

Core inflation, which strips out volatile food and energy prices, softened slightly. Core HICP rose 2.3% YoY, coming in just below the 2.4% consensus estimate and down from 2.4% previously. On a monthly basis, core inflation rose 0.3%, reversing the 0.5% fall seen in November.

Overall, the data point to tentative cooling in annual inflation pressures, though the rebound in monthly readings suggests the disinflation trend remains uneven. With headline inflation sitting at the ECB’s 2% target, the figures support the central bank’s current stance to keep interest rates unchanged. particularly after Tuesday’s final Composite Purchasing Managers Index (PMI) figures came in slightly weaker than expected.

This comes after inflation data from Germany, the bloc’s largest economy, released on Tuesday, pointed to a sharper cooling in price pressure. Germany’s national Consumer Price Index (CPI) rose 1.8% YoY in December, easing notably from 2.3% in November, while the monthly reading was flat at 0%. Meanwhile, final Composite PMI figures also came in slightly weaker than expected.

According to a BHH Market View report, the swaps curve prices in steady interest rates over the next twelve months, followed by a 25 basis point (bps) increase to 2.25% over the next two years.

Looking ahead, attention now turns to Swiss inflation data due on Thursday. Economists expect the Consumer Price Index (CPI) to fall 0.1% month over month in December, following a 0.2% decline previously, while annual inflation is seen edging up slightly to 0.1% from 0.0%.

A weaker-than-expected print could reinforce worries over persistently low inflation and fuel talk of a possible return to negative rates. That said, Swiss National Bank (SNB) policymakers have repeatedly stressed that the bar for a return to negative interest rates remains high.

Economic Indicator

Consumer Price Index (YoY)

The Consumer Price Index (CPI), released by the Swiss Federal Statistical Office on a monthly basis, measures the change in prices of goods and services which are representative of the private households’ consumption in Switzerland. The CPI is the main indicator to measure inflation and changes in purchasing trends. The YoY reading compares prices in the reference month to the same month a year earlier. Generally, a high reading is seen as bullish for the Swiss Franc (CHF), while a low reading is seen as bearish.

GBP/USD holds near Feb. 11 highs as bulls await breakout above 1.3660

The GBP/USD pair trades with a positive bias around mid-1.3600s at the start of a new week and remains well within striking distance of its highest level since February 11, touched on Friday. Moreover, the fundamental backdrop favors bullish traders and backs the case for an extension of a nearly one-month-old uptrend.

EUR/USD holds steady amid US debt strategy

EUR/USD remains stronger for the fourth successive trading day, hovering around 1.1680 during the Asian hours. The currency pair holds its ground as the US Dollar struggles under pressure from newly announced United States fiscal moves. The Treasury Department surprised financial markets by pledging to at least double its buybacks of longer-dated government debt in an attempt to rein in rising bond yields.

Gold keeps rallying toward $4,700, fresh three-month highs

Gold extends its last week's stellar performance into Asian trading on Monday, refreshing three-month highs beyond $4,600. The precious metal capitalizes on persistent US Dollar weakness, following the US Treasury's buyback plan amid fresh US-Canada trade tensions.

Bitcoin holds above $77,000 – PENGU and AAVE eye further gains

The broader cryptocurrency market is gaining momentum with Bitcoin above $77,000 holding its 23% gains from last week. Renewed institutional demand, with $1.92 billion in inflows last week, the largest so far in 2026, backs the risk-on sentiment. Pudgy Penguins and Aave have emerged as top performers over the last 24 hours.

US Dollar Weekly Forecast: Enter Jackson, mind the (budget) Hole

It was not geopolitics, the US-Japan joint FX intervention to support the beleaguered Japanese currency or the omnipresent bets on what the Federal Reserve (Fed) might do in the second half of the year that kept the US Dollar (USD) well on the back foot over the past five days.

$20 billion offered, $2 billion taken: Why Treasury doubled its buyback cap

The US Treasury moved off its own calendar on Wednesday, and that is the part worth sitting with. At 12:32 GMT, the department said it would at least double the size of liquidity support buyback operations in the 10-year to 20-year and 20-year to 30-year sectors, lifting the maximum from $2 billion per operation to at least $4 billion, effective September 9 and running to November 4.