Can someone explain to me why #Francogeddon is such a big deal and why the Swiss government even had to implement this in the first place?
I'm confused eg if the swiss are printing a truckload of francs and its not affecting inflation locally why is it such a bad thing to peg the franc to the euro when they are spending the money on acquiring foreign currency (5th biggest foreign currency holder in the world) and not spending it on "guns and war" like the USA is.
If the USA dollar is being propped up as its seen as a "safe haven" (though if you ask me it shouldn't be seen that way) why is the swiss franc being the "European safe haven" seen as a bad thing?
The Swiss National Bank (SNB) stunned markets on Thursday, when it scrapped its three-year-old peg of 1.20 Swiss francs per euro.
In a chaotic few minutes after the central bank's announcement, the Swiss franc soared by around 30 percent in value against the euro.