The Swiss National Bank (SNB) is set to drive the EUR/CHF lower. Therefore, economists at ING expect the pair to plunge towards 0.90 in 2023.

SNB looks set to guide EUR/CHF lower

“We still think the SNB is running a kind of monetary conditions framework, using both policy rates and the trade-weighted Swiss franc to tighten conditions.”

“With inflation among trading partners running 5-6% above Switzerland, the SNB will want a weaker EUR/CHF to keep the real franc stable. If we’re right, the SNB could be guiding EUR/CHF to 0.90 next year.”