Monday, August 15, 2011

The Swiss Franc as the Global Reserve Currency

More distortions in the global economy, as investors flee the U.S. dollar only to find there isn't much to run to. Switzerland certainly does not have the capacity to support a significant reserve currency. So we now have low level currency wars.

“The franc is catastrophically overvalued,” said Blocher, a former justice minister for the People’s Party, Switzerland’s largest. “It’s almost like economic warfare -- to wage a war, you must use all measures at your disposal, and you must win.”

Note: The People's Party is a nativist , anti-immigrant party.

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