The Swiss franc advanced against majors after the SNB decided to hold interest rate unchanged at zero and maintained the floor of franc at 1.20 per euro as the economy shows progress and deflation threats recede.

The SNB said it expects a moderate pace near to 1% in 2012, while it forecasts CPI to record -0.6% this year, before prices rebound to 0.3% next year, and then rise further to 0.6% in 2014.

The Swiss economy has been showing signs of strengthening, according to the most recent data despite the franc's appreciation. However, the SNB said if the franc did not weaken further risks could emerge, where the banks' assessment for the franc reveals that the Alpine currency is still high.

The EUR/CHF pair is currently trading around 1.2100 after felling to a low of 1.2083 and a high of 1.2138.

In the euro area, data released showed that Euro zone employment recorded -0.2% in the fourth quarter following 0.2% drop in the prior three months.

The European Central Bank Governing Council member Ewald Nowotny told Reuters Insider TV in an interview that the ECB doesn't consider any future rate cuts currently and also doesn't plan for any further accommodative measures to spur growth in Europe.

Moreover, the U.S. dollar slipped against majors before the release of U.S. inflation, manufacturing and jobless claims data later in the day. The dollar index plummeted to 80.30 after opening today's trades around 80.52.

The green currency halted its rally today after it was boosted by the Fed raise to growth projections for the U.S. economy, which damped speculations the Fed may add to stimulus.

The Fed said it predicts a moderate economic growth gradual decline in joblessness as the labor market strengthens.

Against the yen, the greenback dropped from 11-month high, to trade around 83.30 after recording a high of 84.17 and a low of 83.24.The expected trading range for today is among key support at 82.20 and key resistance now at 85.50.

Moving to the British pound, it slipped slightly against the green currency after Fitch Ratings changed U.K.'s outlook to negative from stable, stating that there is a one to two chance Britain would lose its top AAA rating within two years on the threats posed from anemic economic recovery, high sovereign debt, and risks from the European debt crisis.

The pair is trading around 1.5667 after recording a high of 1.5677 and a low of 1.5632, where the trading range for today is among key support at 1.5420 and key resistance at 1.5880.