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Is The Swiss Franc Tumbling Due To Month-End SNB Window-Dressing?

Tyler Durden's picture




 

Facing what is likely the largest loss in its history, it would seem The Swiss National Bank has undertaken what every good asset manager does nowadays - Month-End window-dressing. The Swiss Franc has collapsed in the last week or so (against the Dollar and Euro) as a mysteriously active seller of Swissy has managed levels up to smooth out the collapse in value of the SNB's balance sheet...

 

If only you had a little morer margin to hang on to that Swiss Franc short...

 

These are biggest drops since the Euro-peg was installed in 2011...

 

 

Charts: Bloomberg

 

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Thu, 01/29/2015 - 15:39 | 5721424 AlphaDawg
AlphaDawg's picture

new normal bitchez

Thu, 01/29/2015 - 15:40 | 5721430 timeless21
timeless21's picture

 

 

 

 

 

bitchez...

Thu, 01/29/2015 - 15:54 | 5721493 NoDebt
NoDebt's picture

I can almost hear the Polish mortgage holders cheering from here.

But since they already headed down the bailout road, why not just keep going anyway?  Free mortgage pay-offs for everyone!

Thu, 01/29/2015 - 15:56 | 5721500 knukles
knukles's picture

See.... nobody listens to me anymore.
I told them to print all them Swissy to buy Apple and had they done that they'd of had a big profit instead of a big loss.
huuumph

Thu, 01/29/2015 - 15:44 | 5721427 JungleCat
JungleCat's picture

Don't you know that loose lips sink ships? How dare you threaten the safety of the brave wen and women serving in the Swiss Navy !

Thu, 01/29/2015 - 15:41 | 5721432 Yen Cross
Yen Cross's picture

 The SNB were probably the A-holes that spiked the DXY .75% about an hour ago. Everything sold off except the euro, so I'm sure they were on that bid as well.

Thu, 01/29/2015 - 15:51 | 5721461 AlphaDawg
AlphaDawg's picture

I closed my bond futures positions over last few weeks, the swissy scared the crap out of me. Sitting on GBP till I work out what to do. Got enough gold relative to my wealth.

By pure luck i closed swissy a few weeks before SNB.

Thu, 01/29/2015 - 15:56 | 5721513 Yen Cross
Yen Cross's picture

 GBP is really oversold, and the macro has been decent over the last couple of weeks. It's just EOM flows. I fully expect a bounce in Cable next week.

Thu, 01/29/2015 - 15:42 | 5721433 Goatboy
Goatboy's picture

Isnt weaker CHF still in interest of Swiss economy? Now they have free hands to manipulate it from the shadows..
What am I missing?

Thu, 01/29/2015 - 15:45 | 5721446 Yen Cross
Yen Cross's picture

 You are correct. They can sell all their euro stockpile for dollars, which in turn they can sell CHF against.

Thu, 01/29/2015 - 15:55 | 5721496 Mountainview
Mountainview's picture

Yes, they passthrough EUROs directley into $ and £. and than the otherway round. SNB is a huge CTA hedgefund now with  a plus (called printing press) Free from B.Bernanke

Thu, 01/29/2015 - 15:58 | 5721528 Yen Cross
Yen Cross's picture

   Good comment. You're right.

Thu, 01/29/2015 - 16:20 | 5721659 disabledvet
disabledvet's picture

Sounds like Jon Corzine Incorporated.

 

With commodities collapsing (again) why am I a buyer of Swiss francs?

 

Why not Russian rubles?

 

Again...I've never traded currencies before so this is all new to me.

 

The euro looks totally worthless to me.  How can they compete against Russia again?

Thu, 01/29/2015 - 15:47 | 5721454 trader1
trader1's picture

i think i read it somewhere in a forum:

1 CHF = 1 EUR = 1 USD ?=? 1 CNY 

 

Thu, 01/29/2015 - 15:57 | 5721509 knukles
knukles's picture

That sounds like some shit that Stopler woulda put out as his #1 recommendation of the Century.

Thu, 01/29/2015 - 15:47 | 5721453 Bennie Noakes
Bennie Noakes's picture

Just one (billion) more for the road ...

Thu, 01/29/2015 - 15:49 | 5721465 Payne
Payne's picture

So the Swiss Franc, Gold and Silver all get hammered ??

Thu, 01/29/2015 - 15:56 | 5721512 knukles
knukles's picture

Yep!  So it must be Thursday.

Thu, 01/29/2015 - 15:58 | 5721524 Pig Circus
Pig Circus's picture

Whole market is an manipulated POS. Just like the rally in the Russel the past two hours.

Thu, 01/29/2015 - 16:22 | 5721670 RagnarDanneskjold
RagnarDanneskjold's picture

Looks like a dead cat bounce. Oh no, that cat's just resting.

Thu, 01/29/2015 - 16:26 | 5721699 disabledvet
disabledvet's picture

As an equity guy learning debt my first thought still is "liquidity."

 

Well...where is my liquidity in trading Swiss francs?

 

Dollars, Pound, Rubles..those make sense.  Singapore has devalued.

 

That strikes me as a problem for "Switzerland."

Thu, 01/29/2015 - 18:16 | 5722329 if
if's picture

My impression is that they've been active almost every day this week.  Although there were some cross currents before and after the Fed meeting.  Intervention before the impact of the ECB's QE tidal wave seems like a questionable tactic so they may be trying to window dress the damage.

 

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