Category Archive: SNB

SNB Increased Equities Share to 20 percent, A High Risk Game for a Conservative Investor

A share of 20% equities is too much for a conservative investor. - She increases the CHF debt with continuing interventions at a pace of 10% per year. - yield on bond investments is less than 1% p.a. and equity markets might not improve a lot any...

Gold, Bonds and Negative Interest Rates Give SNB a Q1 profit

SNB Results Q1 2016: Two thirds of SNB profit comes from Gold. Deflation helps with higher bonds prices and profit on negative interest rates.

Swiss National Bank: Composition of Reserves (Assets) and Investment Strategy

The Q1/2016 update on the SNB investment strategy and its assets. The Swiss National Bank is a passive conservative investor. As opposed to other investors, the exposure in currencies is as important as the strategic asset allocation according asset...

With Tech Tanking, Can Anything Save The System?

Submitted by John Rubino via DollarCollapse.com, First it was the banks reporting horrendous numbers — largely, we were told, because of their exposure to recently-cratered energy companies. Now it’s Big Tech, which is a much harder thing t...

Wall Street and SNB In Pain: 163 Hedge Funds Are Long AAPL Stock

First it was the blow up of hedge fund darling Valeant that crushed countless funds who were long the name. Then, one month ago after the collapse of the Allergan-Pfizer deal, we showed (one of the reasons) why the hedge fund world continued to unde...

April 2016: SNB running suicide again?

Speculative position: Speculators are even longer CHF (against USD): +9410x 125K contracts. Sight Deposits: SNB intervenes for 6.4 bln. CHF in only three weeks. Sight deposits (aka debt) are rising by nearly 1% per month, this is 10% per year. The...

Big Players (Read: Governments) Make Markets Unsafe

Authored by Steve H. Hanke of the Johns Hopkins University. Follow him on Twitter @Steve_Hanke. Reportage in The Wall Street Journal on April 4th states that “A fund owned by China’s foreign-exchange regulator has been taking stakes in some of the...

March 2016: Highest SNB Interventions since January 2015

Speculative position: Strong shift to CHF long: +4967x 125K contracts after the Fed reduced their expectations of rate hikes for this year. …………Sight Deposits: SNB intervenes for 6.1 bln. CHF during the month of March. This is...

Investment policy in times of high foreign exchange reserves

The Money Market Event is the biggest feast of the Swiss National Bank and a selected list of money managers that work together with the central bank. It is initiated by important speeches and ended with a generous buffet dinner. In the first speech,...

The SNB and the Forex Rigging Irony

While Forex banks, traders, and other institutions are being blamed for market rigging, the Swiss National Bank can publish reports about its own market rigging, but instead of being a scandal, it's economic data.  That's because the vast majority do...

Swiss National Bank Admits It Spent $470 Billion On Currency Manipulation Since 2010

By now it is common knowledge that when it comes to massive, taxpayer-backed hedge funds, few are quite as big as the Swiss National Bank, whose roughly $100 billion in equity holdings have been extensively profiled on these pages, including its woef...

How Venezuela Exported 12.5 Tonnes Of Gold To Switzerland On March 8

Submitted by Ronan Manly of Bullionstar Blogs Following on from last month in which BullionStar’s Koos Jansen broke the news that Venezuela had sent almost 36 tonnes of its gold reserves to Switzerland at the beginning of the year, “Venezuela...

SNB Monetary Policy Assessment and Critique

We examine the SNB monetary assessment statement of March 17 and the Swiss economy. We explain why negative rates may be a "toothless measure" if a central bank wants to weaken a currency. They have rather an inexpected consequence, they slow down GDP...

Another Fed “Policy Error”? Dollar And Yields Tumble, Stocks Slide, Gold Jumps

Yesterday when summarizing the Fed's action we said that in its latest dovish announcement which has sent the USD to a five month low, the Fed clearly sided with China which desperately wants a weaker dollar to which it is pegged (reflected promptly ...

Central Bank Independence in Switzerland: A Farce

articles by Marc Meyer, one of the most critical voices against the SNB. This post explains --- That the SNB does not understand what assets and liabilities are - and therefore - it speculates with massive leverage. --- The difference between good...

SNB Reduced Loss from 50 Billion in June to 23 Billion

According to the latest news release, the Swiss National Bank expects an annual loss of 23 billion CHF, after reporting a loss of 50 billion at the end of June. Primarily thanks to the stronger dollar, the SNB was able to achieve unrealized gains of 27...

Central Banks Shiny New Tool: Cash-Escape-Inhibitors

Submitted by JP Koning via Moneyness blog, Negative interests rates are the shiny new thing that everyone wants to talk about. I hate to ruin a good plot line, but they're actually kind of boring; just conventional monetary policy except in negative ...

Are Central Banks Setting Each Other Up?

Authored by Mark St.Cyr, There are times you try to connect the dots. There are others where those connections warrant adorning your trusted tin-foiled cap of choice; for you just can’t get there unless you do. This I believe is one of those time...

Swiss Politicians Slam Attempts To Eliminate Cash, Compare Paper Money To A Gun Defending Freedom

As we predicted over a year ago, in a world in which QE has failed, and in which the ice-cold grip of NIRP has to be global in order to achieve its intended purpose of forcing savers around the world to spend the taxed product of their labor, one thi...

MXN Shorts Crushed After Mexican Central Bank Unexpectedly Hikes Rate By 50bps, Peso Soars

It was already a torrid day for commodity currencies, among which the MXN, or Mexican Peso, which were surging on today's latest crude short squeeze and then as if pulling a PBOC with just one intention - to crush the shorts - the Mexican Central Ban...