SNB & CHF

We do not like Purchasing Power or Real Effective Exchange Rate (REER) as measurement for currencies. For us, the trade balance decides if a currency is overvalued. Only the trade balance can express productivity gains, while the REER assumes constant productivity in comparison to trade partners. Who has read Michael Pettis, knows that a rising trade surplus may also be caused by a higher savings rate while the trade partners decided to spend more. This is partially...

USD/CHF stays positive near a three-week high. The resistance line of an eight-day-old rising trend channel limits the immediate upside. 200-bar SMA offers immediate support, SNB in the spotlight. USD/CHF pulls back from the resistance line of a short-term rising trend channel while taking rounds to 0.9695, up 0.16%, during the early Thursday. In addition to the channel’s resistance, nearly overbought RSI conditions also challenge the pair’s further upside. However,...

USD/CHF is reversing up sharply from the 2020 lows.  The level to beat for bulls is the 0.9750 resistance. USD/CHF daily chart USD/CHF is rebounding sharply from 2020 lows while nearing the 100 SMA on the daily chart. The demand for the greenback is dring the currency pair towards the 2020 highs. USD/CHF daily chart(see more posts on USD/CHF, ). USD/CHF four-hour chart The spot spiked to the upside while reaching new March’s highs while trading above the main...

All bubbles pop, period. The financial elites are pushing a narrative that asset prices, sales and profits will all return to January 2020 levels as soon as the Covid-19 pandemic fades. Get real, baby. Nothing is going back to January 2020 levels. Rather than the “V-shaped recovery” expected by Goldman Sachs et al., the crash in asset prices will eventually gather momentum. Why? It’s simple: for 20 years we’ve over-invested in speculative bubbles and squandered...

To read or watch the news in today’s world is to be confronted with a wide array of stories about financial organization and financial institutions. News about central banks, interest rates, and debt appear to be everywhere. But it was not always the case that the financial sector and financial institutions were considered so important. Public policy in general was not always designed with a focus toward propping up banks, keeping interest rates low, and ensuring an...

Charles Hugh Smith, author/proprietor of OfTwoMinds.com explains the self-inflicted pathology that threatens the West’s financial comfort and the liberties we have enjoyed for generations.

Charles Hugh Smith, author/proprietor of OfTwoMinds.com explains the self-inflicted pathology that threatens the West’s financial comfort and the liberties we have enjoyed for generations.

No need of hoarding and panic shopping, the Swiss government has reiterated. (© Keystone/Goran Basic) The Swiss authorities say there are food stocks available to consumers for more than four months to cope with the current coronavirus epidemic. “There is no reason to panic over food,” the government’s delegate for national economic supply,external link Werner Meier, said in an interview published on Wednesday in various newspapers belonging to the CH Media group....

Swiss Franc The Euro has fallen by 0.27% to 1.0537 EUR/CHF and USD/CHF, March 18(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview: A new phase of the market turmoil is at hand. Bonds are no longer proving to be the safe haven for investors fleeing stocks. The tremendous fiscal and monetary efforts, with more likely to come, have sparked a dramatic rise in yields. Meanwhile, equities are getting crushed again....

USD/CHF slips from a two-week high. 61.8% Fibonacci retracement, 200-day EMA add to the resistances. While extending its U-turn from 50-day EMA, USD/CHF drops 0.30% to 0.9583 ahead of the European session on Wednesday. The pair currently declines towards 38.2% Fibonacci retracement of its fall from November 2019, at 0.9500. However, an upward sloping trend line since March 09, near 0.9470 now, could restrict further downside. In a case where the bears dominate...