Talk politics.

Most of us might've already heard the news. The Swiss franc has gone up by almost 30% against the euro, after the Swiss central bank suddenly removed the fixed ceiling, which for the last few years used to be hovering around 1.20 franc per euro. The announcement caused chaotic reactions throughout the markets, the exchange rate reaching 0.80 against the euro in the first hours after the event, before it went back down to 1.03. The Swiss currency has also gained about 25% against the dollar, the rates reaching 0.89 franc for a dollar in the course of the hectic trade.


Just until a few days ago, the board of the central bank kept maintaining that the fixed rate was a cornerstone of their fiscal policy. The bank had been put under immense pressure regarding the ceiling that was imposed in September 2011, which was supposed to put brakes to the soaring currency, which in turn was caused by the debt crisis in the Eurozone and the scramble for "refuge investments".

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