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  #81  
Old 10.03.2016, 22:01
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Re: SNB introduces negative interest to weaken the franc

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More like "Buy the rumour, sell the news" situation.
Maybe so but strangely the down and up movements were after the news; not before!
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  #82  
Old 10.03.2016, 22:03
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Re: SNB introduces negative interest to weaken the franc

Yeah, right ... Today it gains ground, tomorrow it slightly loses ground. It's a famous game of currency brokers that profit the most from the currencies fluctuation. I will still stick to CHF because it's strong and proven currency after all. Won't bite human sentiments
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  #83  
Old 10.03.2016, 23:15
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Re: SNB introduces negative interest to weaken the franc

Seems to have improved the price of gold despite rumours of US Fed interest rate increases!
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  #84  
Old 10.03.2016, 23:17
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Re: SNB introduces negative interest to weaken the franc

If the Fed does raise the rates, gold will take off.
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  #85  
Old 11.03.2016, 00:03
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Re: SNB introduces negative interest to weaken the franc

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It's has to do with two things in my view. On one side the market had priced a certain depreciation of the Euro due to the expected cut ( that's why it didn't fall so much) BUT Draghi went public and said that we shouldn't expect further cuts, that's it...that's when it rose to levels above the ones prior to the cut. All in all, hypersensitivity is so thick one can slice it with a knife!
"Draghi went public and said that we shouldn't expect further cuts, that's it" With this simple statement he completely destroyed his package to improve the EU situation and to cut the value of the euro.

I suppose he is now in a quiet corner somewhere practising kicking himself
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Old 16.03.2016, 18:50
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Re: SNB introduces negative interest to weaken the franc

Meanwhile in Germany, Munich Re has started a pilot project to store cash and gold in its vault instead of depositing the cash as a way to avoid negative interest rates. Similarly, numerous German savings banks are reviewing storing excess cash in their vaults. Article in today's Handelsblatt:

http://www.handelsblatt.com/unterneh.../13328426.html

The ECB also wants to remove Eur 500 notes from circulation citing their potential improper usage as justification. The real reason might have something to do with negative interest rates.
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  #87  
Old 16.03.2016, 19:07
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Re: SNB introduces negative interest to weaken the franc

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Meanwhile in Germany, Munich Re has started a pilot project to store cash and gold in its vault instead of depositing the cash as a way to avoid negative interest rates. Similarly, numerous German savings banks are reviewing storing excess cash in their vaults. Article in today's Handelsblatt:

http://www.handelsblatt.com/unterneh.../13328426.html

The ECB also wants to remove Eur 500 notes from circulation citing their potential improper usage as justification. The real reason might have something to do with negative interest rates.
It would take 20 years to print US bank notes if everybody wanted to hold cash, I suspect the same is true in Europe so hoarding cash won't help much.
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  #88  
Old 16.03.2016, 19:19
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Re: SNB introduces negative interest to weaken the franc

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It would take 20 years to print US bank notes if everybody wanted to hold cash, I suspect the same is true in Europe so hoarding cash won't help much.
Not if you create a new €25'000 denomination banknote
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  #89  
Old 16.03.2016, 19:53
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Re: SNB introduces negative interest to weaken the franc

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It would take 20 years to print US bank notes if everybody wanted to hold cash, I suspect the same is true in Europe so hoarding cash won't help much.
Not so sure it's the 20 yrs. that's the limiting factor but if there are enough trees on Earth to provide the paper.
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Old 16.03.2016, 20:16
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Re: SNB introduces negative interest to weaken the franc

What does it all mean? My savings will lose purchasing power?
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  #91  
Old 16.03.2016, 20:27
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Re: SNB introduces negative interest to weaken the franc

Yes, there'll be nothing left.
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Old 16.03.2016, 21:55
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Re: SNB introduces negative interest to weaken the franc

The ECB and BOJ are going to be really unhappy with what the US FED & Janet Yellen just did.... downgrading the outlook and saying that they foresee only 2 rate hikes instead of 4!

Over to our own SNB, what will they do tomorrow?..I think they'll hold for now...
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