Sunday, November 30, 2014

BREAKING: SwissGold Referendum Shot Down in Flames

The Swiss have rejected the “Save Our Swiss Gold” voter referendum that would have required the Swiss National Bank to:

– hold at least 20% of its reserves in gold;

– repatriate of all of its gold currently held outside its borders; and

– ban selling any of its gold.

Louis Cammarosano at  Smaulgld writes:
Swiss Voters Hand Swiss National Bank a Blank Check and More Toner for Their Franc Printing Press
Because the Save our Swiss Gold initiative was rejected, it means that the SNB can continue their misguided policy of printing Swiss Francs to buy Euro denominated debt in order to support the Franc:Euro peg of 1.2:1.

By buying Euro denominated debt, the Swiss in effect have been and will continue to be supporting the deficit spending of the Euro zone.

The European Central Bank (ECB) is considering its own round of quantitative easing (QE). If the ECB were to embark in its own QE program, Switerland, unfettered by any gold reserve requirements will have to go along on the disasterous journey and continue to print Francs in order to prevent the Franc from appreciating against the Euro.

Gold rises as a hedge against inflation – defined as an increase in the money suppply. The Swiss No vote on the Save Our Swiss Gold vote ensures that the SNB may now continue their Franc printing and if necessary increase it unfettered by any gold reserve requirement.


The final vote is in: 78% voted against the referendum.


  1. Of course. I knew they'd be too stupid to do the right thing. Like I always say, I'm surrounded by idiots.

  2. Well I was hoping to be pleasantly surprised by a yes vote but can imagine those tiny few in favor being dismissed (at best) by the great and the good as being irrelevant to the current economic problems and at worst dangerous freakozoids.

  3. The Swiss were retarded to ditch their gold reserves, fall for EU immigration policies, destroy bank account
    secrecy and let the CB trash what was left of their currency. Good luck with that. It will get 1000 times worse.

  4. What a disappointing result, but not unexpected. There was a slim chance it would pass considering that fewer people understand the problems brought by fiat currency. Let us hope the Swiss people wake up soon and try again.

  5. Soon to be recalled the swiss miss...
    gofo....negative ..5825 bps 12 mon gofo .006