SNB & CHF

“The top 25 hedge fund managers made more than all the kindergarten teachers in the country,” declared President Obama in a discussion of poverty at Georgetown University. Calling them “society’s lottery winners,” he proposed to hike their taxes. Hedge Funds vs Kindergarten: Who is worth more? Predictably, battle lines have been formed between two polarized sides. One side—let’s call them the Gauche for convenience’s sake—is unhappy with the pay disparity. CBS News, in an almost neutral...

Our monetary system is failing, but explaining that isn’t easy. The most popular argument is that the dollar has falling purchasing power and rising inflation. The problem with this argument is that consumer prices aren’t skyrocketing now. So, of course, people remain skeptical. Yields across all markets were falling worldwide. This causes the income generated from assets to fall. I wrote about this serious problem last time, introducing the concept of yield purchasing power—which is how...

The zero-fuel Solar Impulse plane depends on perfect weather for its journey around the world. All forecasts are made by a team of specialists in Monaco, who also work out the best flight route. (RTS/swissinfo.ch) Swiss aviation pioneers Bertrand Piccard and André Borschberg are currently on the China leg of their first solar plane journey around the world. The pilots are constantly assisted by their team of meteorologists and engineers at headquarters in Monaco. At the Solar Impulse control...

A Swiss medical research company has developed a device that can recognise epileptic seizures before they happen. The prototype was presented at the recent international brain forum in Lausanne, jointly hosted by the Swiss Federal Institute of Technology (EPFL). Scientists, business leaders and policymakers met to discuss innovative technological solutions, medical devices and medications to enhance brain functions and treat the growing number of neurological disorders like epilepsy....

Researchers in a mountain lab have been working on technology that would safely dispose of nuclear waste. (SRF/swissinfo.ch) The Federal Office of Energy has the overall responsibility for the three-stage selection process for one to two sites for geological repositories of nuclear waste. The cabinet at the end of 2011 approved six areas, which meet the requirements according to the National Cooperative for the Disposal of Radioactive Waste, NAGRA, most of them north of Zurich, close to the...

 (post written originally in March 2013) We reckon that the Swiss National Bank (SNB) will have issues maintaining the EUR/CHF floor in the longer term, because the expected yields on Swiss investments abroad will not be sufficiently higher than the yield on investments in Switzerland. Because of this insufficient risk-reward relationship, outflows in the capital (now called  “financial”) account of the Swiss balance of payments will not cover the persistent Swiss current account...

Video Content Abstract at: LINK http://www.gordontlong.com/Macro_Analytics.htm#Smith-05-04-15

Constitutionally Legal Tender is a growing demand put forward by Representatives in a growing number of states. The latest is Texas, and here is the truth about the effort.

The Swiss franc has traditionally been a safe haven for investors in times of crisis. Why exactly has the Swiss National Bank been doing everything it can to sully the currency's reputation? (Michele Andina & Matthew Allen, swissinfo.ch). The banking crash of 2008 plunged several countries into stagnation or recession. Investors looked for a place that would preserve what assets they had left. People scrambled out of the euro and the US dollar and into the Swiss franc. This quickly had a...

Lou Spichtig and Laura Fernandez-Gromova dream of becoming top dancers. Competing in the Prix de Lausanne takes them a step closer to realising their goal. (Carlo Pisani, 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:...