USD/CHF Eyes Gains as Swiss Q4 GDP Misses Expectations at +0.1% q/q

Switzerland's Q4 GDP came in at +0.1% quarter-over-quarter, slightly below the +0.2% consensus expectation, potentially weighing on the Swiss franc and offering mild support for USD/CHF. The prior quarter's contraction was revised upward from -0.5% to -0.4%, providing a marginally better backdrop. The Q4 rebound was driven by a recovery in the chemical and pharmaceutical industry, which had dragged output sharply lower in Q3. Domestic demand conditions remained supportive throughout the final quarter, helping to sustain modest growth. For full-year 2025, Swiss GDP expanded by 1.4% year-over-year, reflecting a resilient but unspectacular economic performance. The softer-than-expected quarterly print may reinforce expectations that the Swiss National Bank will maintain its accommodative monetary policy stance, limiting franc appreciation. For traders, the modest GDP miss is unlikely to trigger significant volatility on its own but adds to the broader narrative of subdued Swiss growth. Near-term, USD/CHF traders should monitor upcoming SNB commentary and global risk sentiment for directional cues, as the franc's safe-haven dynamics remain a key variable.