Good news about price increses- Swiss Franc locked (Mostly EU)

[Dweller of the Sea]

Just read this:

http://www.snb.ch/en/mmr/reference/p...0110906.en.pdf

The swiss have locked the CHF to the Euro.
The Swiss National Bank sets the minimum exchange rate at CHF 1.20 per euro.

Hopefully this will keep the price increases to a "normal" inflation level.

The CHF will probably also be more stable against the dollar, as it has been lately.

[Gerardus]

Ugly, a bought just a lot of Rolexes to gain money
No, seriously I think its better stably, normal inflation

[snowbird]

Interesting. However I believe the only way they can guarantee that 1.20 rate is with exchange controls, which aren't mentioned in the press release.

I don't think any country has enough money to hold a target currency value simply by buying and selling in the open market.