Swiss Wages Seen Up 2.3% in 2025, Lifting Real Incomes; FX Angle for EUR/CHF
October 17, 2025FX take: what this means for EUR/CHF and USD/CHF
A combination of firmer wages and still-low inflation supports domestic demand without stoking strong price pressures. That mix reduces pressure on the SNB to tighten policy again, and economists recently expected the policy rate to remain around 0% into 2026, a backdrop that can limit franc outperformance against the euro. For traders, durable real wage gains are mildly CHF-supportive, but an extended low-rate stance keeps EUR/CHF mostly driven by relative growth and ECB expectations.
Bottom line for households: more purchasing power in 2025 looks likely if inflation tracks below wage growth. Bottom line for markets: a stable SNB and improving incomes argue for range-bound EUR/CHF near term, with event risk from SNB guidance and euro-area data.