Euro crashes against Swiss Franc!
At about noon today, while traveling, I heard this on the Italian RAI radio:
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Euro Crashes Against Swiss Franc
By Clem Chambers
PUBLISHED: 15 Jan 2015 @ 11:30
The Swiss central bank has pulled the plug on the euro and the euro has dived across the board and crashed against the Swiss franc.
So this is the background. During the euro crisis huge waves of hot money swamped the Swiss franc as fear of a euro collapse made international funds dash for safety. The Swiss franc span upwards out of control. This was terrible news for Switzerland. How can you export your goods to the world when your currency is so high it is better than gold?
The answer is to peg yourself to the offending currency and buy it to pull the price of your currency down. In effect you say, “you want my currency, then have it, I’ll print it.” You are then flooded with foreign currency reserves, which is a nice result and your currency doesn’t rise to the moon. You can always buy back your currency with that money and probably turn a fat profit.
So that is what Switzerland did. It pegged the Swiss franc to the euro.
Now it has said, “let’s forget that, time to let the market take its course.” Boom, this is what happened next:
http://www.fotothing.com/photos/0a2/...?ts=1421320755
...................
This has completely crashed the euro against the Swiss franc and will be bad news for the Swiss economy. It has smashed the euro against other currencies too because up till this morning the euro has been supported by the Swiss franc peg.
The Swiss franc meanwhile has gone wild again, all currencies producing massive windfall profits for anyone holding Swiss francs.............
http://uk.advfn.com/newspaper/clem-c...st-swiss-franc
Re: Euro crashes against Swiss Franc!
The point is that whoever had invested heavily in Swiss currency (I would assume most Swiss people) just made themselves richer by ~30% in a few hours and whoever had borrowed in Swiss Franc (mainly big corps) added an equal amount of debt on themselves. I wonder who had inside intel before this happened.
Re: Euro crashes against Swiss Franc!
This will harm the economy (and therefore ultimately the Swiss people) a lot, however it is a very good deal for foreigners who have capital on Swiss banks. Hmm, this reeks of corruption.
Re: Euro crashes against Swiss Franc!
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Posted by
Skyhaven
This will harm the economy (and therefore ultimately the Swiss people) a lot, however it is a very good deal for foreigners who have capital on Swiss banks. Hmm, this reeks of corruption.
Had it been any other country that would be the case, however for Switzerland I'm not sure. People who invest there are not looking for cheap investment or competitive workforce, but rather for safety. People who buy Swiss goods are not exactly concerned about the prices (i.e the ones who can afford to pay 2000$/night at Gstaad Palace won't stop going there if it's 2200$/night).
Re: Euro crashes against Swiss Franc!
Quote:
Posted by
Skyhaven
This will harm the economy (and therefore ultimately the Swiss people) a lot, however it is a very good deal for foreigners who have capital on Swiss banks. Hmm, this reeks of corruption.
There are a lot of things going on in the world economy today that are really strange. First, the oil price decline ,now this. The house of cards may be starting to fall.
When greed and self interest are the determining factors in the way business is conducted and every move is short sighted with the goal of making a quick buck, eventually something has got to give!!
Re: Euro crashes against Swiss Franc!
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Posted by
fractal being
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Posted by
Skyhaven
This will harm the economy (and therefore ultimately the Swiss people) a lot, however it is a very good deal for foreigners who have capital on Swiss banks. Hmm, this reeks of corruption.
Had it been any other country that would be the case, however for Switzerland I'm not sure. People who invest there are not looking for cheap investment or competitive workforce, but rather for safety. People who buy Swiss goods are not exactly concerned about the prices (i.e the ones who can afford to pay 2000$/night at Gstaad Palace won't stop going there if it's 2200$/night).
I am not sure either, it could be a trade-off between imports and exports that might even be profitable for the country. But then again when there's that much foreign capital on the banks as they have, then that in itself is reason enough to be very suspicious. These events make someone who is rich, suddenly extremely rich, and who knows how that is interwoven with the interests of politicians or the ones behind the central bank.
Re: Euro crashes against Swiss Franc!
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Posted by
Skyhaven
I am not sure either, it could be a trade-off between imports and exports that might even be profitable for the country. But then again when there's that much foreign capital on the banks as they have, then that in itself is reason enough to be very suspicious. These events make someone who is rich, suddenly extremely rich, and who knows how that is interwoven with the interests of politicians or the ones behind the central bank.
It could also relate to these news from Yesterday:
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A top European Union lawyer has said that the European Central Bank's planned bond-buying programme is legal.
Advocate General Cruz Villalon said the ECB's Outright Monetary Transactions (OMT) programme is compatible, in principle, with EU law.
But he said that if the programme is implemented, its compatibility will depend on certain conditions being met.
The bond-buying is aimed at avoiding a break-up of the euro, but has faced a legal challenge from Germany.
This practically means that the ECB cannot get involved in bail-out packages , but instead it can intervene directly to ease monetary difficulties for the members of the Eurozone without the imposition of heavy austerity measurements anymore. So it could be that the rich seeing that they cannot break-up the eurozone so easily decided to cash-in. I guess we'll see pretty soon...
Re: Euro crashes against Swiss Franc!
That's no light decision to break from the Euro, especially for a country this size. That's pretty big news.
However I've seen in French news articles that their nationalist politicians are also calling for a withdrawal from the Euro and a re-implementation of the franc. This is the Front National party in France, who have been making upsets at every recent election and winning more and more seats in the French government, and they oppose the EU and want to center French politics back around France.
Re: Euro crashes against Swiss Franc!
More accurate than euro crashes is Franc zooms up crazily.We are at last seeing movements towards a softer Euro which is desirable for all the suffering National economies in Europe. Bring on a looser money supply & a bit of inflation, it could even help! The asset buying program if it happens will lead to bubbles in interesting places. I hear that it's not just equities, but things like Art,Cars, collectables etc. There's a hot tip.
On the oil issue, this is primarily the cheap producers driving the high cost producers out of business. Good for most economies and bad for fracking. Saudi flexing its muscles, I wonder what their long term plan is?
Re: Euro crashes against Swiss Franc!
Good evening my friend.
The national front is not seating anywhere in the French government. Very good results at local and European elections but no chances that they can get the majority in "assemblée nationale" elections because of the electoral system.
So if no civil war (as Fox-news is suggesting) or change in the system, the national front has no chances to get France to leave the €.
I am French and studied political science with a PHD grade.
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Posted by
bsbray
That's no light decision to break from the Euro, especially for a country this size. That's pretty big news.
However I've seen in French news articles that their nationalist politicians are also calling for a withdrawal from the Euro and a re-implementation of the franc. This is the Front National party in France, who have been making upsets at every recent election and winning more and more seats in the French government, and they oppose the EU and want to center French politics back around France.
Re: Euro crashes against Swiss Franc!
Well I am not French of course, I can only speak French and read news articles, mainly Le Monde and then alternative articles from various blogs, so I can get two sides of the issue.
I remember reading that France was also redrawing its internal political map and maybe this is related to this. Anyway this kind of movement is not isolated to France. The UK has also been rather cold towards the EU since its inception, and nationalist movements are growing in other countries as well. You can try to force closed the doors of a flood gate but eventually, when enough water accumulates, it's going to pour across everywhere. So I think it doesn't matter so much what political "solutions" are created to try to patch the problems that the EU has created in all of these nations.
If you want to carry the metaphor over to the US, of course the US also has many economic issues. Our federal government is akin in this way to the EU. Our individual states could often do much better (and already are doing much better) than the federal government, but because of its self-assumed position of master of all state governments (which constitutionally it really is not), it causes trouble for everyone. And in Europe you don't have the advantage of one rather homogenous history, culture and language. So these kinds of structures need balance on local and state levels. They cannot rule everything with absolute power and expect everything to work.
Re: Euro crashes against Swiss Franc!
I belive this year will be hard for europe, the whole region is a big play ball from western interests against russia it all starts now the eurokrisis is connected with the oilprices and also russia cuts down the gas supplys to europe.
and thats not the end, there are movements like pegida in germany that are realy an enemy to the system right now they dont belive the politicans anymore and they dont belive the media.
on long term i see a civil war or many civil wars in europe, the conflict with russia is like gunpowder for the allready burning economy in europe.
Re: Euro crashes against Swiss Franc!
am not sure the Euro/dollar were ever a match for the Swiss Franc, most certainly not in the long run; Switzerland is the most per capita richest country in the world and always has been; Switzerland was supposedly founded/FUNDED by the Knights Templar (Swiss flag is a color reversal/truncated Knights Templar cross);
so which faction is responsible for protecting the Vatican?- the Swiss Guard-
Larry
Re: Euro crashes against Swiss Franc!
Re: Euro crashes against Swiss Franc!
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Posted by
Carmody
More information as of recent, on the creation of gold via multiple methods.
COLD FUSION ALCHEMY: LENR REACTOR PRODUCES GOLD AND PLATINUM AS A BY-PRODUCT
Re: Euro crashes against Swiss Franc!
In 2009 I heard a presentation by Tom Bearden in which he stated that many years ago John Bedini had turned copper into gold (earned himself a visit from the 'Men in Black') as the result of a challenge from a Black Ops guy in an attempt to get Bedini away from his 'free energy' work. I also heard years ago, from someone I consider a good source, that Russia was 'manufacturing' gold-although in a relatively limited fashion. For every ounce of gold they mined they added another 'manufactured' ounce to the pile!
It sure is an interesting situation with any currency backed by gold!
