SNB preview: High bar to a cut, hold at 0% – NOMURA

FXStreet Insights Team FXStreet

The Swiss National Bank (SNB) is expected to maintain its policy rate at 0% despite weak inflation and GDP growth, citing high barriers to negative rates. Following limited interventions in 2024, the SNB remains willing to use FX purchases to manage disinflation while forecasting steady growth into 2026, NOMURA's Research Analysts report.

On hold at 0.00% despite low inflation and falling GDP

"We expect the SNB to leave its policy rate unchanged at 0.00% at its 11 December meeting."

"The latest inflation and GDP growth data were both weak. However, we expect the SNB to forecast inflation to rise again and continued GDP growth in 2026, so a rate cut will likely not be required, particularly as the bar to a negative policy rate is high."

"The SNB purchased CHF5.1bn of FX in Q2 following limited interventions in 2024, suggesting it remains willing to use this policy tool to curb disinflation."

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

EUR/USD remains well bid near 1.1650

EUR/USD has recovered part of the recent steep pullback, approaching three-day highs around 1.1650 due to the renewed weakness of the Greenback. Meanwhile, investors continue to evaluate President Trump's recent threats to impose new tariffs on several EU countries.

GBP/USD meets some resistance near 1.3440

GBP/USD reverses the earlier pullback and manages to pick up strong upside traction on Monday, climbing to as high as the 1.3440 zone. Cable’s sharp bounce comes in response to the fresh selling interest hurting the Greenback amid the resumption of tariff jitters.

Gold edges higher above $4,650 as Trump tariffs spark safe-haven demand

Gold price edges higher to near $4,670 during the early Asian session on Tuesday. The precious metal is set to hit a fresh record high as traders flock to safe-haven assets amid a persistent geopolitical and economic outlook.

Ethereum bounces off key trendline as retailers distribute, network activity booms

Ethereum saw mixed sentiments in its on-chain activity over the past week. While whales accumulated amid a surge in network activity, retailers distributed as escalating geopolitical tensions over Greenland eventually pulled down prices.

When tariffs become ammunition and capital becomes the battlefield

Markets opened the week like a risk engine hitting a pothole at speed. Equities stepped back, gold vaulted to fresh highs, Treasuries caught a bid, and the dollar, outside of havens, took on a soft bid. This was not a data-driven wobble or a valuation purge.

Meme Coins Price Prediction: Dogecoin, Shiba Inu, Pepe in a freefall, echoing Bitcoin’s drop

Meme coins, such as Dogecoin, Shiba Inu, and Pepe, extend the decline from last week, with a roughly 3% drop on Monday. The meme coins trade below the crucial moving averages, aiming for the immediate support to potentially reset the momentum.