Swiss Stocks Collapse Most In 25 Years: Surveying The European Close Carnage

Swiss 10Y rates crashed over 10bps by the close (having plunged as low as 3.3bps at one point) but the entire Swiss curve is negative at any maturity less than that. EURUSD crashed over 200pips back below 1.16 - the lowest since November 2003. Swiss stocks crashed around 15% before bouncing back to a 8-9% loss - the biggest drop since 1989. Away from Switzerland (and Greece) European stocks and sovereign bonds saw initial dips bought on ECB QE implications but EU Sovereigns did bleed back wider. European VIX spiked from sub-29 to over 32 and all the way back down to close lower on the day.

 

The big story is EURCHF - which collapsed 35 handles at its worst...

 

EURUSD breaks 1.16 - lowest in over 11 years...

 

Swiss Stocks crashed... the biggest daily drop since 1989...

 

And The Swiss Yield Curve crashed to negative rates to 9 years...

 

Away from Switzerland, markets were bulled up by this news implying moar QE coming down the pike...

Sovereign bond spreads collapsed at the open but bled back wider as the day went on...

 

And ex-Swiss and Greek stocks, European stock markets rallied...

 

With The DAX dumped and then pumped back over 10,000 near record highs...

 

European VIX roundtripped...

 

Charts: Bloomberg