SNB & CHF

A federal initiative aimed at subsidising health insurance premiums once they exceed 10% of disposable income met with resistance in Bern this week, reported RTS. Photo by Negative Space on Pexels.comThe idea, which was put forward by the Socialist Party, would require the federal government to foot two thirds of the bill for the subsidy with cantons left to find the remaining third. First the plan was rejected by the Federal Council on the grounds that some cantons...

Once again, the dollar was sold into a shallow bounce as the bears maintained the upper hand. There is a growing conviction that the peak in the Fed's tightening cycle is within view, despite more robust than expected jobs growth and an unexpectedly strong rise in average weekly earnings. After rallying through September, the US dollar's pullback was extended last week. Despite the oversold momentum indicators, dollar bounces have proved short and shallow. Falling...

The week ahead is more than an interlude before five G10 central banks meet on December 14-15. The data highlights include the US ISM services and producer prices, Chinese trade and inflation measures, Japanese wages, household consumption, and the current account. Also, the Reserve Bank of Australia and the Bank of Canada hold policy meetings. Central banks from India, Poland, Brazil, Peru, and Chile also meet.The dollar appreciated in Q1 and Q2 despite the economy...

There’s an idea rooted among some libertarians that the Federal Reserve was originally a sound institution but has grown corrupt. As a bankers’ bank, it was fine, they believe, but not as the monster it has grown to be. If we could only go back to the Fed’s founding charter, all would be well. I’m thinking of two well-known financial analysts who are unsurpassed in their analytical brilliance and knowledge of markets and who rightly regard the bureaucratic Federal...

Every three months the rate of interest used to set the rents in Switzerland is reviewed. If it goes down some renters have the right to request a decrease in rent. If it goes up landlords can push up rents. This time the rate remained at 1.25%, however it looks set to rise next year. The interest rate used to set the reference rate is the average rate on Swiss mortgage loans outstanding at 30 September 2022. The average rate was 1.18%, up from 1.17% from the second...

The public has been misled about interest rates. We associate low interest with easy and cheap money. And it is, if only for a select few. The rest of us have to suffer - in silence - while these misconceptions only make things so much worse. Understanding rates isn't an academic exercise about the past, it is absolutely critical for analysis and forecasting upcoming future risks. Eurodollar University's Money & Macro Analysis Twitter: https://twitter.com/JeffSnider_AIP...

© Robert Buchel | Dreamstime.com On 2 December 2022, Switzerland’s Federal Council agreed to boost the salaries of those working for the federal government by 2.5% in 2023. Inflation, which was 3% at the end of November 2022, has fuelled demands for higher pay. During negotiations, staff representatives pushed for a pay deal that fully made up for inflation. However, finance minister Ueli Maurer pointed out that Switzerland’s already negative budget should be...

Most people are familiar with the Panama Canal, but they probably don’t know the first effort to build the Panama Canal, spanning almost a decade, was by France. Facing considerable initial naysaying and ridicule, Ferdinand de Lesseps had the acumen and drive to construct the Suez Canal. Success was realized after overcoming many obstacles and difficulties. Naturally enough, France turned to him to build a sea-level canal in Panama. Minority technical reports...

SWI swissinfo.ch, a branch of the Swiss Broadcasting Corporation (SBC), provides targeted information to all the Swiss living abroad. We deliver the latest news from and about Switzerland. We report on political events in Switzerland and on the international stage. We also look at how the government and the cantons deal with issues relating to the Swiss Abroad. SWI swissinfo.ch provides independent reporting on Swiss politics, business, science, culture and society in ten languages. ---...

Overview:  There have been significant moves in the capital markets this week and participants are turning cautious ahead of the US employment report. After the US equity market rally stalled yesterday, nearly all the Asia Pacific bourses fell today. The strength of the yen (~3.8% this week) has weighed on Japanese equities (Nikkei -1.8% this week) and spurred the BOJ to buy ETFs today for the first time in five months. Europe’s Stoxx 600 is nursing a small loss as...