jacknapier
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I've noticed a bit of a correlation between the two currencies. It's not very obvious on a chart, but recently silver has been rallying and so has the eur/chf.
I remember a year ago when the Swiss decided they were going to defend the 1.20 level and silver promptly took a big ol' dump and I'm sure many silver bears made more than a few bucks that night. After silver nearly hit 50$, the EUR/CHF stepped up the pace of it's downward spiral before the Swiss banks stepped in to attempt to stop it.
Anyway, I'm wondering why there is this correlation? Do the Swiss own hoards and hoards of silver? Or do they produce a lot of silver or what? Are the Swiss banks arch-enemies of JP Morgan Chase? (Who, I'm told, own massive short positions in silver.) Or maybe the Swiss just decided they were going to sell a load of silver a year ago to help fund defending the 1.20 level and it was just a one off type deal.
I remember a year ago when the Swiss decided they were going to defend the 1.20 level and silver promptly took a big ol' dump and I'm sure many silver bears made more than a few bucks that night. After silver nearly hit 50$, the EUR/CHF stepped up the pace of it's downward spiral before the Swiss banks stepped in to attempt to stop it.
Anyway, I'm wondering why there is this correlation? Do the Swiss own hoards and hoards of silver? Or do they produce a lot of silver or what? Are the Swiss banks arch-enemies of JP Morgan Chase? (Who, I'm told, own massive short positions in silver.) Or maybe the Swiss just decided they were going to sell a load of silver a year ago to help fund defending the 1.20 level and it was just a one off type deal.
