News / Europe

Swiss Central Bank Takes Steps to Protect Exporters Interest

A bank clerk places1000 Swiss franc banknotes in a money counter in a Bank in Bern August 15, 2011. The Swiss franc rose against the euro and the dollar as renewed worries about the euro zone crisis pushed investors towards the safe-haven currency despite
A bank clerk places1000 Swiss franc banknotes in a money counter in a Bank in Bern August 15, 2011. The Swiss franc rose against the euro and the dollar as renewed worries about the euro zone crisis pushed investors towards the safe-haven currency despite

Switzerland is moving to protect its exporters hurt by Europe's financial crisis, putting a cap on the franc's exchange rate against the euro.

With world stock markets experiencing huge swings in value on an almost daily basis, some investors have turned to gold and purchase of the Swiss currency as safe havens from the market turmoil. That in turn has made the franc more valuable, and the country's exports more costly on world markets.

But the Swiss central bank said Tuesday it would no longer allow the euro to trade below 1.2 francs, aiming for what it called a "substantial and sustained weakening" of the country's currency.

Investors continued to sell stocks on most world exchanges after Monday's steep losses.

European stocks were down in afternoon trading, and some Asian markets continued their slide, driven by fears of slowing growth in the United States and the sovereign debt crisis in Europe.

Japan's closely watched Nikkei index closed down by 2.2 percent, at its lowest level since April 2009, while similar losses were recorded elsewhere in Asia, except in Hong Kong, where stocks rose. Export-oriented manufacturers suffered some of the heaviest losses.

Gold rose to an all-time high at more than $1,919 an ounce before settling back.  A flight to U.S. Treasury bonds drove yields to their lowest level in more than 60 years.

Tuesday's stock trading followed losses Monday of around 3 percent in major Asian markets and more than 4 percent in European financial capitals. Analysts blamed the European losses in part on concerns about Greece's ability to meet its debt obligations and the viability of the region's common currency, the euro.

In Singapore, Finance Minister Tharman Shanmugaratnam was quoted saying a new global recession is now more likely than not. However, World Bank President Robert Zoellick said at the same conference be believed a double-dip recession will be avoided.

The two-day round of stock selling in Asia was sparked by Friday's U.S. report that showed stagnant job growth.  The data increased concerns that the United States could lapse back into recession.

Worries about U.S. growth were compounded by a downbeat report on China's services sector.

Some information for this report was provided by AP, AFP and Reuters.

You May Like

Tunnel Bombs Highlight Savagery of Aleppo Fight

Rebels have used tunneling tactic near government buildings, command posts or supply routes to set off explosives; they detonated their largest bomb this week under Syria's intelligence headquarters More

Sierra Leone Launches New Initiative to Stop Ebola Spread

Government hopes Infection and Prevention Control Units, IPC, will help protect patients and healthcare workers More

UN Official: Fight Against Terrorism Must Not Violate Human Rights

UN High Commissioner for Human Rights says efforts by states to combat terrorism are resulting in large scale rights violations against the very citizens they claim to defend More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Video Claims to Show Shia Forces in Iraq Executing Sunni Boyi
X
Jeff Seldin
March 05, 2015 2:36 AM
A graphic mobile phone video is spreading on the Internet, claiming to show Iraqi forces or Shia militia executing a handcuffed Sunni boy. Experts have yet to verify the video, but already Islamic State followers are publicizing it across social media, playing on deep-rooted sectarian fears. VOA’s Jeff Seldin reports.
Video

Video Video Claims to Show Shia Forces in Iraq Executing Sunni Boy

A graphic mobile phone video is spreading on the Internet, claiming to show Iraqi forces or Shia militia executing a handcuffed Sunni boy. Experts have yet to verify the video, but already Islamic State followers are publicizing it across social media, playing on deep-rooted sectarian fears. VOA’s Jeff Seldin reports.
Video

Video Ukrainian Authorities Struggle to Secure a Divided Mariupol

Since last month's cease-fire went into effect, shelling around the port city of Mariupol has decreased, but it is thought pro-Russian separatists remain poised to attack. For the city’s authorities, a major challenge is gaining the trust of residents, while at the same time rooting out informants who are passing sensitive information to the rebels. Patrick Wells reports for VOA.
Video

Video Volunteer Gauge-Watchers Help Fine-Tune Weather Science

An observation system called CoCoRaHS is working to improve weather science, thanks to thousands of volunteers across the country who measure precipitation in their own backyards, then share their data through the Internet. VOA's Shelley Schlender reports.
Video

Video NASA Spacecraft Approaches a Dwarf Planet

NASA’s Dawn spacecraft will make history on Friday, March 6, when it becomes the first man-made object to orbit a dwarf planet named Ceres. It is located in the asteroid belt between Mars and Jupiter, almost 500 million kilometers from Earth. Among other objectives, Dawn will try to examine two mysterious bright white spots detected on the planet’s surface. VOA’s George Putic has more.
Video

Video Young Muslims Radicalized Online

Young Muslims are being radicalized ‘in their bedrooms’ through direct contact with Islamic State or ISIL fighters via the Internet, according to terror experts. There are growing concerns that authorities and Internet providers are not doing enough to counter online extremism - which analysts say is spread by a prolific network of online supporters around the world. Henry Ridgwell reports from London.
Video

Video African Americans Recall 1960s Fight For Voting Rights

U.S. President Barack Obama and thousands of people will gather in the small southern U.S. city of Selma, Alabama, Saturday, March 7 to commemorate the 50th anniversary of a historic voting rights march that became known as “Bloody Sunday." VOA’s Chris Simkins traveled to Alabama and introduces us to some of the foot soldiers of the voting rights struggles of the 1960s.
Video

Video Positive Messaging Transforms Ethiopia's Image

Ethiopia was once known for famine and droughts. Now, headlines more often point to its fast-growing economy and its emergence as a regional peacemaker. How has Addis Ababa changed the narrative? VOA's Marthe van der Wolf reports.
Video

Video Cyber War Rages Between Iran, US

A newly published report indicates Iran and the United States have increased their cyber attacks on each other, even as their top diplomats are working toward an agreement to guarantee Iran does not develop a nuclear weapon and to free Iran from international sanctions. The development is part of a growing global trend. VOA’s Al Pessin reports from London.
Video

Video Answers Elude Families of MH370 Passengers

For the families on board Malaysia Airlines flight MH370, an airline official’s statement nearly one year ago that the plane had lost contact with air traffic control at 2:40 AM is the only thing that remains confirmed. William Ide reports.

All About America

Circumventing Censorship

An Internet Primer for Healthy Web Habits

As surveillance and censoring technologies advance, so, too, do new tools for your computer or mobile device that help protect your privacy and break through Internet censorship.
More