SNB & CHF

Following a fatal attack on a tourist in Graubünden by suckler cows, farmers are fencing off their cattle to better protect hikers. (SRF/swissinfo.ch) --- swissinfo.ch is the international branch of the Swiss Broadcasting Corporation (SBC). Its role is to report on Switzerland and to provide a Swiss perspective on international events. For more articles, interviews and videos visit swissinfo.ch or subscribe to our YouTube channel: Website: http://www.swissinfo.ch Channel:...

Since the financial crisis central banks in developed nations increased their balance sheets. The leading one was the American Federal Reserve that increased the monetary base (M0, often called “narrow money”), followed by the Bank of Japan and recently the ECB. In most cases the extension of narrow money did neither have an effect on banks’ money supply, the so called “broad money” (M1-M3), nor on price inflation. For the Swiss, however, the rising money supply concerned both narrow and...

Swiss GDP increased by 0.2% q/q and 1.2% y/y. Once again, investments on equipment and software (+3.6%) was one of the main drivers. For many economists investment on equipment and software is the most desired GDP growth component. SECO: Gross domestic product in 2nd quarter 2015  (source)Each quarter, the Swiss department of economics (SECO) estimates the GDP and its components. The main purpose of these estimations is to provide data that allows for an assessment of the cyclical...

National accounts in Switzerland in 2014 Press Release by Swiss Statistics (FSO) Foreign trade the main source of growth Neuchâtel, 27.08.2015 (FSO) – In 2014 the Swiss economy registered a growth in grossdomestic product (GDP) of 1.9% at the previous year’s prices (+1.8% in 2013).Taking a slight  decrease in the general price level into account, GDP at current prices grew by 1.2% (2013:+1.7%). Foreign trade strongly contributed to the rise in GDP in 2014 due to sustained growthin exports...

Dozens of people drowned this summer at Switzerland's outdoor pools, despite lifeguards' efforts to keep the public safe. (SRF/swissinfo.ch) swissinfo.ch is the international branch of the Swiss Broadcasting Corporation (SBC). Its role is to report on Switzerland and to provide a Swiss perspective on international events. For more articles, interviews and videos visit swissinfo.ch or subscribe to our YouTube channel: Website: http://www.swissinfo.ch Channel:...

Basel’s Top Secret Drum Corps has drawn crowds and praise at the 2015 Royal Edinburgh Military Tattoo. Top Secret was formed in 1990 and has become one of the most sought-after groups of its kind. Their shows include drumstick juggling and flag spinning. They've performed four times at the Edinburgh Tattoo. --- swissinfo.ch is the international branch of the Swiss Broadcasting Corporation (SBC). Its role is to report on Switzerland and to provide a Swiss perspective on international events....

After the strong revaluation of the Swiss franc in recent years, some economists, like the ones at the Swiss National Bank (SNB), claim that the franc is overvalued. Many use misleading Purchasing Power Parity (PPP) measures like the Big Mac index, the OECD index or the PPP based on consumer prices for computing fair values. The second big mistake is to compute the Real Effective Exchange Rate (REER) with the wrong “base year”, i.e. to assume that in 1999 the CHF was correctly valued. The...

Once upon a time, before banks and before even private lending, there was only one way to prepare for retirement. People had to hoard something durable. Every week, they would set aside part of their wages to buy salt (later, it was silver). Assuming it didn’t get wet, the salt accumulated until they couldn’t work any longer. Then, they would begin selling it off to buy groceries. This was the best they could do. By modern standards, it wasn’t a very good method. Stockpiling a commodity...

This year began with the U.S. stock market facing ever increasing headwinds that whipped up choppier waves with whiter crests and deeper troughs. These harsh winds have blown from the four points of the compass, namely the U.S. Federal Reserve Board, the Euro/Greek crisis, the energy and commodity maelstroms, and now the icy chills out of China, all combining to stir up the treacherous currents of globally unstable economic weather patterns.When the market’s weather is sunny and breezy, the...

Switzerland is expecting more and more hot summers due to climate change, so research into heat-resistant crops is well underway. (SRF/swissinfo.ch) swissinfo.ch is the international branch of the Swiss Broadcasting Corporation (SBC). Its role is to report on Switzerland and to provide a Swiss perspective on international events. For more articles, interviews and videos visit swissinfo.ch or subscribe to our YouTube channel: Website: http://www.swissinfo.ch Channel:...