Something interesting happened today as the unthinkable has become the thinkable. The pressure on the euro/Swiss floor of 1.20 Swiss francs to the euro has finally been lifted! This floor, which was implemented by the Swiss National Bank to counter the massive inflow of euros into Switzerland, had been under pressure basically since inception. However, today the exchange ended at 1.21 francs to the euro today, which is huge considering that a few days back, on September 2nd, the exchange was set at 1.2009 francs to the euro.
This occurrence is a potential sign that the euro is gaining traction and optimism about the European sovereign debt crisis is slowly increasing. For more analysis of the euro/Swiss floor, click here.