EUR: As the euro falters, all eyes are on the Swiss National Bank.

The EUR/USD continues to struggle, with the next primary test area for the cross being 1.1750-1.1800. The Swiss central bank meets quarterly to discuss monetary policy. Swiss GDP contracted by -3% in 2020, as predicted by the SNB at its December meeting, indicating that it would not stray far from its 2.5-3.0% projection for 2021. Let’s see whether the Swiss franc is still considered “highly-priced” by the central bank. Since the CHF nominal trade-weighted index has not corrected much lower, this is most likely the case. On today’s event risk, we believe EUR/CHF can hold 1.10 support.