CHF as VP speculation

[Libertarian666]

I think there is a non-negligible chance that this referendum (actually a set of three related referenda) will pass:
http://www.kitco.com/news/2014-11-07/Co ... asses.html

If this does happen, I would expect that the CHF will get a bigger boost than gold will. After all, a few hundred tons of gold, while a lot compared to annual mining production, isn't very much compared to the overall amount available for them to purchase.

But the CHF has been held down by SNB purchases to keep it aligned with the Euro. Having a big gold backing would probably put the kibosh on such purchases because they would require the SNB to buy even more gold to back the larger money supply.

Since most people don't consider this a high likelihood, it probably isn't priced into the CHF exchange rate already, so if it happens there could be a surprise on the upside.

[dualstow]

Although I won't be buying CHF, I always like to hear what's going on in the Helvetic Confederation. Thanks for posting this.

[barrett]

I just find it kind of amazing that the common Helvetians will actually get to vote on this. I am trying to imagine something similar happening here in the US.