Bulletin

Markets rocked after Swiss central bank abandons its currency cap

Switzerland's central bank has surprised the markets by abandoning a currency cap. The franc surged as much as 39% against the euro and the dollar as a result of the Swiss National Bank's decision to lift its SFr1.20 cap, which is understood not to have been made as part of a co-ordinated policy with other central banks. The move is believed to be in anticipation of The European Central Bank's expected large-scale sovereign bond buying programme aimed at reviving growth and saving the eurozone from deflation. If ECB president Mario Draghi announces a mass quantitative easing plan, then demand for the Swiss franc would soar as it is considered one of global markets' stronger havens. The bank's move was greeted with dismay by Switzerland's exporters, as a stronger franc will make their products more expensive abroad.

 

Note: News bulletin content has been provided by a third-party and is not the opinion of Santander

 

Other Articles

GoJumpIn

The sky is seemingly the limit for a company which has got us all jumping with excitement as they secure a Santander funding deal to make…

Bulletin
Food and drink exporting opportunities in the UAE

Richard Cuda, Director - Strategic Banking Alliances, International, Santander UK says UK food and drink manufacturers should seriously…

Bulletin

According to DIT, of the 2.5 million businesses registered in the UK, an estimated 360,000 who have an exportable product or service…

Bulletin
Food and drink exporting opportunities in the UAE

Richard Cuda, Director - Strategic Banking Alliances, International, Santander UK says UK food and drink manufacturers should seriously…

Bulletin

According to DIT, of the 2.5 million businesses registered in the UK, an estimated 360,000 who have an exportable product or service…

Bulletin
Cardiff-based Forward Waste Management

Money will support the company, which serves the manufacturing sector, with Welsh and West Midland growth plans.

Bulletin

Where Next?