Category Archive: SNB

SNB Survey: 2016 Foreign Exchange Turnover

This press release presents the results for a Swiss National Bank (SNB) survey on turnover in foreign exchange and derivatives markets. The request for data was sent to 30 banks that operate in Switzerland and have a sizeable share in the foreign...

SNB Balance Sheet Now Over 100% GDP

Since 2008 the balance sheet of the Swiss National Bank has risen from 28% to 102% of Swiss GDP. Balance sheets of other central banks have strongly risen, too. But there is one big difference: The risk for the SNB is far higher, the SNB nearly...

Wir wollen nicht in die EU. Stoppt diese SNB!

Politischen Druck auf die SNB hält Wirtschaftsprofessor Aymo Brunetti für „fatal in einer derart schwierigen Situation“. Dabei macht die SNB Politik, sie führt die Schweiz in den Euro.

Interim results of the Swiss National Bank as at 30 June 2016

The Swiss National Bank (SNB) reports a profit of CHF 21.3 billion for the first half of 2016. A valuation gain of CHF 7.6 billion was recorded on gold holdings. The profit on foreign currency positions amounted to CHF 13.0 billion.

666: The Number Of Rate Cuts Since Lehman

BofA's Michael Hartnett points out something amusing, not to mention diabolical: following the rate cuts by the BoE & RBA this week, "global central banks have now cut rates 666 times since Lehman."

“Mystery” Buyer Revealed: Swiss National Bank’s US Stock Holdings Rose 50 percent In First Half, To Record $62BN

In a month, quarter and year, in which many have scratched their heads trying to answer just who is buying stocks, as both retail and smart money investors have been aggressively selling, yesterday we got the answer.

Swiss National Bank’s U.S. equity holdings hit record $61.8 billion last quarter

The value of the Swiss National Bank’s U.S. stock portfolio jumped to a record in June, helped by equity market gains. The holdings climbed to $61.8 billion from $54.5 billion at the end of March, according to calculations by Bloomberg based on the...

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.

SNB intervenes for 6.3 billion francs in one week, total 10bn Brexit intervention

SNB intervenes for 6.3 bil francs in the week ending last Friday. Once again a record high since January 2015. The SNB raised the intervention level to 1.0850. Apparently conversion of GBP->CHF flows into GBP-> EUR flows – via EUR/CHF purchases....

Swiss Balance of Payments and International Investment Position 2015

The Swiss National Bank (SNB) is publishing the annual Swiss Balance of Payments and International Investment Position report today. This year, the report is being released earlier – in May instead of August, as in previous years. It is based on the...

Purchasing Power Parity, REER: Swiss Franc Overvalued?

Most economists, like the ones at the Swiss National Bank (SNB), claim that the franc is overvalued. Many use misleading Purchasing Power Parity (PPP) measures like the Big Mac index, the OECD index or the PPP based on consumer prices for computing...

Swiss balance of payments and international investment position: Q1 2016

Switzerland International Investment Position - Overview
The current account surplus amounted to CHF 10 billion in the first quarter of 2016, CHF3 billion less than in the year-back quarter. The decline was primarily attributable to trade in goods, where the receipts surplus of CHF 8 billion was CHF 2...

SNB’s Maechler on Negative Rates and our Critique

At the SNB news conference, Andréa Maechler discusses the current situation of financial markets and the negative interest environment. For us, negative rates make only holding money on accounts less attractive but not cash, real estate or stocks....

News conference Swiss National Bank 2016, Fritz Zurbrügg

UBS and Credit Suisse: Capital Situation improved further: fully compliant. Domestically focused banks have capitalisation well above regulatory minimum requirements, but mortgage lending and risk exposure increased in 2015. In case of an interest...

News conference Swiss National Bank, Thomas Jordan

SNB rate remains –0.75%, SNB is ready to intervene in the FX market, Inflation will rise faster over the coming quarters, Swiss economy to grow 1% to 1.5% in 2016

Monetary policy assessment of 16 June 2016

conditional inflation forecast of june 2016
The Swiss National Bank (SNB) is maintaining its expansionary monetary policy. Interest on sight deposits at the SNB is to remain at –0.75% and the target range for the three-month Libor is unchanged at between –1.25% and –0.25%. At the same time, the...

Swiss Reserves: Not what They Seem

This posts shows again the stupidity of the financial media, that mixes up assets and liabilities for central banks. SNB FX reserves are assets. They are in different foreign currencies and subject to the valuation effect of these currencies.

Apple Jumps After Berkshire Reveals 9.8 Million Share Stake

After three consecutive weeks of seemingly relentless bad news for Apple, moments ago the stock jumped by $2 dollars, rising from $90.5 to over $92.50. Some hope for the Swiss National Bank or will Berkshire shares sink together with Apple and the SNB?

As Carl Icahn Was Selling Apple, This Central Bank Was Furiously Buying

We hope for the sake of Swiss residents that equity markets never suffer a dramatic drop. The SNB has “invested” 20% of Swiss GDP in stocks. When will the ivory tower economists ultimately lose control of the most manipulated, centrally-planned market...

The Twilight Of The Gods (aka Central Bankers)

The current financial market volatility increasingly reflects loss of faith in policy makers. Celebrity central bankers are learning that they must constantly produce new miracles for their followers.