Post Tagged with: "Switzerland"
Uncertainty Drives Yen and Swiss Franc Higher
BBH CurrencyView North American Update US dollar mostly weaker versus majors USD/JPY reaches record low as uncertainty remains elevated; G7 to discuss Swiss franc stronger on safe haven bids; SNB remains on hold The dollar declined against most currencies today. The yen is 1.5% stronger trading around the 78.50 level after a very volatile session,
UBS Faces LIBOR Manipulation Probe
By Warren Mosler As previously discussed, the US should outlaw the use of libor by its banking system. It makes no sense to allow US dollar rate setting for our banks to be set overseas by the BBA. Setting our banking system’s dollar rates is the Fed’s responsibility. And, to further make the point, note
Japan’s Nuclear Accident is Impacting European Politics
By Marc Chandler The Japanese nuclear accident has implications for Europe. The EU wants to have stress tests on members nuclear plants. The tests are not mandatory, but may be difficult to refuse. Switzerland has halted its nuclear program, according to reports. Perhaps the most interesting response is in Germany. Chancellor Merkel has been an
Indian banks issuing bonds in Swiss Francs, Really…?
by Marc Chandler A number of Indian banks have begun issuing Swiss franc denominated bonds, ostensibly to raise cheap funds and meet the demand in Europe for emerging market debt. Reports suggest that this is the first of such issues in almost a quarter of a century. While Indian banks seem well capitalized presently, the
EUR/CHF Continues To Make Historic Lows On Euro Zone Tensions
from the BBH Currency Strategy Team The euro is slightly firmer today vs. the dollar today, but continues to make new historic lows vs. Swiss franc just below 1.25, suggesting that euro zone tensions remain strong. EM currencies continue to firm, suggesting a bit of decoupling from the euro zone crisis. However, trading ranges are
Outlook for Swiss National Bank
by Marc Chandler The Swiss National Bank meets Thursday. A change in its monetary stance is not likely for several months at least. However, the SNB will provide new GDP and inflation forecasts that investors may find helpful. The Swiss government provided new forecasts today, ahead of the SNB. Growth this year is put at
Chart of the Day: The World’s Top 50 Banks (bubble chart version)
I have written a few posts showing you the ranking for the big banks globally, with a special emphasis on Europe because of systemic risk. But here’s a great bubble chart that gives you a visual on the relative size of the big banks globally. (Hat tip Barry Ritholtz). Of the large countries on this
Chart of the Day: Rolling Bear Market in Various Currencies Since 2007
In yesterday’s daily note, David Rosenberg showed us this chart of the wild swings in the foreign exchange markets since the beginning of 2007. His interpretation of the chart is that it demonstrates a "series of rolling currency depreciations" in a beggar thy neighbour world of weak aggregate demand. The competitive currency devaluation theme recently
Swiss Franc Hits Record vs Euro; Yen Gains
The BBH CurrencyView Highlights The Swiss franc rose to a record against the euro while the yen also continued to edge higher through the Asian session as some improved Japanese figures failed to dent the risk-off momentum. EUR/CHF dropped as low as 1.2933, and USD/CHF dropped to 1.0227, near the 8-month low of 1.0221 reached
Stresses Remain In Play For Europe
From Win Thin, Senior Currency Strategist at BBH. Bloomberg headline reads “Europe’s Budget Cuts Pose Risk to Debt Ratings, Moody’s Says.” Really?The article goes on to quote the agency as saying budget cuts in response to the European crisis will weigh on growth and thus increase the risks of rating downgrades. What would Moody’s have
Dollar, Yen, and Swiss Franc Firmer In Thin Holiday Trading
Highlights US dollar was mostly firmer vs. the majors as the risk off trading environment carried over from last week, albeit in thin holiday trading. Yen and Swiss franc were largely firmer, while EM FX was mixed. Biggest gainers on the day vs. USD were PLN, RON, MYR, KRW, and TWD, while biggest losers vs.
Dollar Correction Likely To Continue
Highlights The US dollar is generally consolidating this week’s losses in quiet and largely uneventful turnover. The shallowness of dollar bounces warns that the downside correction is not complete. Given the structural arguments that the euro bears drew upon to fuel the single currency’s 13%+ decline between mid-April and earlier this month, the risk seems