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  • $SNB STUNS MARKETS BY SCRAPPING CAP AGAINST EURO

$SNB STUNS MARKETS BY SCRAPPING CAP AGAINST EURO

randholm
January 15, 2015 7:20 am / Published in Market Update

$SNB STUNS MARKETS BY SCRAPPING CAP AGAINST EURO

The Swiss National Bank unexpectedly scrapped its cap on the franc on Thursday, sending the safe-haven currency crashing through the 1.20 per euro limit it set more than three years ago.

Minutes after the announcement the franc had soared by almost 30 percent in value against the euro. SNB vice-chairman Jean-Pierre Danthine had said as recently as Monday that the cap would remain the cornerstone of its monetary policy.

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