UBS Keeps EURCHF Forecast at 0.94 Through Year-End

UBS Switzerland AG maintains its forecast for the EURCHF exchange rate at around 0.94 by the end of 2026, citing near-term upside risks before a gradual decline in 2027.

The Swiss National Bank kept its policy rate unchanged at its September meeting and avoided an overly hawkish stance, which has limited domestic inflationary pressures to 0.8% year-over-year in August.

UBS economists now expect two SNB rate hikes in March and June 2027, bringing forward the first increase from a previous expectation of mid-2027.