Category Archive: CHF FX

Switzerland ranked world’s worst currency manipulator

The Economist magazine placed Switzerland first in a recent ranking of currency manipulators. According to the analysis, China, commonly thought of as the world’s champion at keeping its currency’s value artificially low, appears to be doing the...

What Vice Costs – The World’s Cheapest (& Most Expensive) Countries For Drugs, Booze, & Cigarettes

Indulging in a weekly habit of drugs, booze and cigarettes can cost you as little as $41.40 in Laos and a whopping $1,441.50 in Japan, according to the Bloomberg Vice Index.

Swiss 10 year bond yields still negative, but approaching zero.

The global bond rout returned with a bang, sending 10Y US Treasury yields as much as six basis points higher to 2.53%, the highest level in over two years. The selloff happened as oil prices surged by more than 5% following Saturday's agreement by...

THIS Time A Swiss Franc Hedge Makes More Sense

Money markets and the Swiss franc have diverged despite a presumed increase in event risk from the U.S. Presidential election. Moreover, shorts against the Swiss franc have risen. This surprising divergence opens up a presumed opportunity use the franc...

SNB Line in Sand Breaks, EUR/CHF under 1.08

We have always emphasized that the SNB intervenes between 1.08 and 1.0850. Even if there was no change in sight deposits the 1.08 "line in sand" broke.

Swiss trains the most expensive in Europe

A study by GoEuro, compares the cost of travelling 100km by train. Switzerland led the ranking with the most costly train trips in Europe. Travelling 100km in Switzerland cost CHF 52.

Cash in a box catches on as Swiss negative rates bite

It’s a sign the world is getting used to negative interest rates when what once seemed bizarre starts looking like the norm. Consider Switzerland, where more and more companies are taking out insurance policies to protect their cash hoards from theft...

Why Switzerland’s franc is still strong in four charts

Swiss National Bank President Thomas Jordan keeps saying the franc is “significantly overvalued.” And that’s despite the central bank’s record-low deposit rate and occasional currency market interventions.

Greenspan explains negative Swiss Yields

For Alan Greenspan, negative Yield Reflect Spread between Italian and Swiss Bonds. For him, bond prices in general have risen too much.

Swiss Franc Trade-Weighted Index, Performance Far Worse than Dollar Index

On a three years interval, the Swiss Franc had a weak performance. The dollar index was far stronger. Contrary to popular believe, the CHF index gained only 1.73% in 2015. It lost 9.52% in 2014, when the dollar strongly improved.

Swiss Bond Yields all Negative up to 30 years: Greatest Bubble in Financial History

Graham Summers says that central banks have lost control and investors are crazy. They pay the Swiss government for the right to own their bonds. One point is missing: Swiss rates are "more negative than others", because investors expect a slow...

El-Erian: Cash is more valuable than ever

Mohamed El-Erian, chief economic adviser at Allianz Global Investors. says that Investors shouldn’t underestimate the role of cash in their portfolios We should add that the Swiss Franc is one of the most important havens for holding cash.

In Surprising Development NIRP Starts To Work, Pushing Rich Swiss Savers Out Of Cash Into Stocks

One of the rising laments against NIRP is that far from forcing savers to shift from cash and buy risky (or less risky) assets, it has done the opposite. Intuitively this makes sense: savers expecting a return on the cash they have saved over the years...

As Of This Moment, Barclays Is Not Accepting FX Stop Loss Orders

Anyone wondering why gaps and volatility in FX, and especially cable is reaching on the absured today, with 100 pips swings in minutes the norm, the reason is that there is virtually no liquidity.

With Daily Record Lows: Chart of German Bund Yields Since 1977

The German Bund chart is very important for us, because the Swiss franc is negatively correlated to German government bond yields. The lower Bund yields, the stronger the Swiss Franc. When European governments and the ECB are ready to pay higher...

Need Safe havens: CHF or Gold?

In times of negative interest rates and falling earnings per share, gold is the ultimate safe haven. Due to negative rates, it is not the Swiss Franc.