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Swiss Stocks Slump For Worst Week Since Lehman, Bond Yields Negative To 12 Years
First the good news... European Stocks (ex Greece and Switzerland) exploded higher this week with 'great' nations like Portugal (up over 7%) and Italy (up over 5.5%) and Germany's ADX over 10,000 to record highs. EU bond spreads compressed notably (Spain/Italy down 20bps or so on the week) and EURUSD crashed below 1.15... all on hopes that the SNB decision means Moar-Massive ECB QE comes next week (not priced in). But the bad news... Swiss stocks collapsed-er again today for the worst week since Lehman. Swiss bond yields are negative to 12 year maturity and EURCHF is back below par at 0.9820...
European bonds and stocks are loving it... (buy the hope, sell the news next week?)
Swiss Yield Curve is negative to 12 years...
One last thing... Gold (in EUR) vs EURCHF...
Charts: Bloomberg
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Do us all a favor and price the indices in AU/AG from now on.
Zurich will look fab, Frankfurt will resemble Moscow
Hi Ho Silver.
Up 4% on the day.
Whoah Trigger!
The wind is still at our backs as we now can see the shoreline of our future endevors. We are those who held fast to our principles, investing in that that stores wealth and holds value, knowing soon it would be an asset used fungibly for trade. Be gone are those who sell paper products, they have been stopped out by reality, a reality which sees nature for what it is.
Reasources are finite in a short time period, but infinite when looked at over millions of years. We do not have millions of years to exist and the maggots of Wall Street our ruining society. Yet this is why we left. This is why we have found a new shore - to set up a camp to thrive for the next stage of our journey.
Swissies will be just fine......they're the first out of the meat grinder.....the rest of the schmucks better worry.....bye bye Germany
Germany will turn into Bangladesh. Cheap labor and all.
Or Gold (in EUR) vs EURCHF
Bond yields negative until forever.
More negative yields to follow.....
Credianstalt was in Austria. This is Switzerland, which makes it completely different.
Anyone questioning the actions of the central banker planner are just haters and bigots.
looks like pm did finaly bottom
just for the record
on (my) local pm dealer page 1oz silver bar cost 29,24 euro and if you wanna sell 15,50
"The Zero."
Sure...buy every bar you can in euro's..the inflation over there is gonna blow folks away. "Euro-weimar."
No way am I going near the swiss franc either. The can't even afford a dollar right now.
So because the Swiss dollar is stronger than had actually been reported, the value of the Swiss businesses are actually less in terms of Swiss dollars.
Who's fault is that?
Oh yes, the Central Bank manipulators.
This would be irrelevant if we had a gold standard.
No problem, the PPT are throwing jacks and timbers into the hole to prop things up for one more day because stocks are the only important thing and all those other markets are just numbers.....
All major Swiss banks like UBS, CS, Julius Baer and EFG etc have lost 20% of their market cap in 48 hours!
Plus, UBS got delisted from NYSE on Jan 14, though it has not been widely disseminated but the news has come around very rarely in media since Dec 2014. when their board made a decision to delist in order to create a holding company (whatever that means).
Anybody knows why UBS would delist from NY? Why would such a massive bank retrench only to Switzerland?
wasn't UBS offered a deal to either give up all names and locations of America's "most wanted" or they had to leave?
a good guess
another, maybe US forcing them to raise capital requirements if they wished to continue doing business in US
Not really...because UBS still has over 7,100 advisors across US and generates USD 2bn in quarterly sales revenues just in US with profits of over USD 250m.
http://www.thinkadvisor.com/2014/10/28/ubs-advisor-production-tops-merri...
This is purely to do with listing not with anything else, I believe. Having a subsidiary always provides more control to the US regulator. Why would they even allow UBS (with all the frauds they have facilitated) to remove the subsidiary and the listing and go to Switzerland under a group mode?
Ahhh ha...here maybe some of the answer...
"UBS expects that these measures will allow it to qualify for a capital rebate under the Swiss "too-big-to-fail" regime, which would result in lower overall capital requirements for the Group.
After the setup of the holding company, additional expected changes extending into 2016 include the establishment of a banking subsidiary in Switzerland by mid-2015 and a US Intermediate Holding Company by mid-2016."
http://www.rttnews.com/2389913/ubs-launches-share-for-share-exchange-off...
thanks
Okay fine...they have 250 million in dollars to play with.
The Swiss will love being on the hook for their bank which holds the assets from global pedophile and drug cartels.
Why would such a massive bank retrench only to Switzerland?
Were you born yesterday?
I wouldn't be able to produce a halfway complete list of reasons, starting at SOX and ending at FATCA, if I'd spend 1 hour on it.
Tis but a scratch...
just birthing pains
Now here is some real malarkey for you.
Tyndale House, a major Christian publisher, has announced that it will stop selling “The Boy Who Came Back From Heaven,” by Alex Malarkey and his father, Kevin Malarkey...[He] said [he] went to heaven because [he] thought it would get [him] ttention.
Can you imagine anyone believing that someone with the name of Marlarkey was in Heaven. Q99X2 does not lie about such things bitchez.
january 22nd (ECB meets) should be very interesting
anything less than "all-in" (QEforever) probably won't be favorably met by Mr Market
no QE this month (too many mechanics to work out) though draghi will still talk dovishly. euro worth a quick buy for a countertrend rally.
the swiss nationals really have the best of all worlds - negative interest rates and a currency that's going to the moon.
the 30y 40y 50y butterfly looks like a no brainer - pay the wings
http://investfts.blogspot.co.uk/2015/01/the-snb-whats-going-on.html Don't get FXCMed in these volatile markets.
So my take is that Switzerland is too small to really matter.
Sure...BIS this and Zurich that...but the folks long that franc are really nutty. There is no economy to justify these crazy foreign exchange moves.
You have the dollar. You have the "yuan" I guess...what's with the whole franc malarkey in the first place? People who trade that thing are really dumb.
So that "monies" will still be subsumed by the "euro undertow" as that currency quickly heads to below parity with the dollar.
I wonder who writes article titles and headlines. Seriously. Let me ask a question. If your stock drops 15%, but when you sell your stock the currency you receive is worth 20% more than when you purchased the stock, how much have you "lost". Really?
Even better, what if your stock rose 20%, then collapsed 20% due to the CHF rise? Answer: you collect your gains, but pay no taxes on those gains, because you have no nominal gains. In other words a lot of people will be saying, "hahahaha! up yours, taxman!".
+1
Same thoughts here (although I didn't think it all the way through to the taxman.)