Switzerland Referendums November 30

[Zincite]

Hi there, I think it will be easier to have one thread to contain and track all news leading up to the November 30 referendums.

The first of the three referendums is concerning gold reserves, literally 'reclaiming' the government's foreign gold reserves from the federal bank of NY thus ensuring financial security, maintain 20% of the Schweizerische Nationalbank's (SNB) assets in gold, and lock away gold in the SNB by stopping gold sales. (Read more of the proposal: http://goldswitzerland.com/swiss-to-vote-on-gold-repatriation-in-november/)

The next is an anti-immigration proposal to safeguard the nation's resources and culture - to restrict immigration to 0.2% or just 16k a year (if only the rest of Europe, not tied to the EU, could follow). This proposal, just as the gold one is not supported by the Swiss establishment but has major support through most cantons with a concentration in the (German) North. The final third is a proposal to abolish the flat tax rate and for a different taxing method on foreign workers (tied to both income + assets).

These referendums prove again that Switzerland has the only functioning and accountable democracy in which the folk can determine their future.

German page of the Chancellery outlining the referendums (& more details found here too): http://www.bk.admin.ch/themen/pore/va/20141130/index.html?lang=de

[Zincite]

Swiss Vote on Central Bank Gold Could Limit Manipulation


As Switzerland’s central bank engages in controversial monetary-policy gimmicks to keep the Swiss franc from rising, voters will have an opportunity to start reining in the scheming next month. On November 30, the wealthy Alpine nation — among the last in the world to decouple its currency from gold — will hold a referendum on whether to force the Swiss National Bank (SNB) to hold a fixed portion of its assets in the precious metal. If approved, the implications for Switzerland, gold prices, precious-metals manipulation, and perhaps even the global fiat-currency regime could be enormous, analysts say.

The proposal, dubbed “Save Our Swiss Gold,” would mandate that the central bank keep at least 20 percent of its reserve holdings in gold, as opposed to, for example, U.S. dollars or euros. The measure also seeks to prohibit the sale of the Swiss central bank’s gold, all of which would have to be kept inside Switzerland. If approved, the Swiss central bank, which is currently sitting on more than half of a trillion dollars’ worth of assets, would have to purchase about 1,500 tons of the precious metal to comply with citizen demands — about half of the world’s annual production, according to UBS analysts.

Read more: http://www.thenewamerican.com/world-news/europe/item/19269-swiss-vote-on-central-bank-gold-could-limit-manipulation

[Zincite]

SWITZERLAND: About To Purchase 1500 Tonnes of Gold ?


On 30th of November 2014, Switzerland will be holding a referendum of its citizens which might require the Swiss National Bank (SNB) to more than double its reserves in gold to 20%. The Swiss citizens will also vote for whether the central bank should stop selling its precious metals and if all gold should be held domestically.

According to Beat Siegenthaler at UBS, the gold initiative would comprise a purchase of 1,500t of gold over five years in order to reach the levels of 20%. Latest data provided by the WGC shows that the central bank holds 1,040t of gold, which constitutes 7.7% of its reserves.

The “Yes” vote could have a dramatic influence on the overall gold market. Ole Hansen at Saxo Bank (10/02/2014) explains that the Swiss gold referendum could usher in significant levels of gold buying, which in turn will have an effect on the price of gold. Hansen also mentions in Kitco News (09/30/2014) that the uncertain geopolitical outlook and European growth can act as a motivation for citizens to vote for SNB holding more gold. The drivers behind this initiative were introduced by several members of the Swiss People's Party SVP who managed to collect 100,000 signatures by April 2013 which indicates the appeal for the referendum.

Important to note is the attention around the “No" vote as both the government and parliament prompts voters to reject the gold initiative. The initiative, they argue, would make it difficult for them to fulfil the institutions mandate for price stability and would contribute to a halt in economic development. SNB President Thomas Jordan further adds in Bloomberg (10/07/2014) that: “The initiative has the potential to limit the central bank’s ability to act."

http://news.sharpspixley.com/article/switzerland-about-to-purchase-1500-tonnes-of-gold-/212898/

Saxo Bank: Watch copper and gold in Q4


The fourth quarter of 2014 is likely to be a bumpy one for commodities and smart investors are going to have to factor in geopolitical risk, a rising US dollar and a slowdown in Europe in China if they are participating in the sector.

This is the view of Ole Hansen, the head of commodity trading at Saxo Bank who recently released a report for clients outlining his three key trades for the last quarter of the year. In his report entitled Broken promises, Hansen says he is expecting a weaker copper price, some support for Brent Crude oil and a bounce in the gold price.

Pointing out that commodities had hit a “near-perfect storm” of risk aversion in the third quarter, commodities had subsequently pulled back sharply. "So much so, that from leading other asset classes during the first half, the Bloomberg Commodity Index of 22 leading commodities has now slumped to levels last seen at the depth of the global financial crisis and recession back in 2009.”

In respect of his proposed copper trade, Hansen says he expects copper price to fall further in the last quarter on the back of the Chinese slowdown in demand. He is expecting copper for December delivery to drop below $2.98/lb and to potentially fall as low as $2.72/lb.

He told clients: “Copper inventories on the London Metal Exchange have fallen to their lowest level since 2008 and this has helped support the price despite the lack of any clear signs of actual demand towards consumption, especially considering the current risk of China undershooting its stated growth projection of 7.5%. A slowdown there is currently not expected to be met with any price supporting factors such as a new dramatic stimulus initiative.

Given that copper inventories tend to rise during the northern hemisphere winter, support for copper during the final quarter can be hard to come by, not least considering the current outlook for an even stronger dollar.”

Gold, he says, could be due for a reversal in fortune after a torrid first three quarters in 2014. He points out that while gold has underperformed in US dollar terms, if it is measured against the Euro, the metal has in fact risen by almost 10% this year.

Hansen believes that the Swiss referendum on 30 November, may well be the catalyst for a revival in the fortunes of gold. If the referendum is passed, the Swiss National Bank would need to hold at least 20% of its assets in gold; refrain from selling any of its gold reserves and store all its gold within Switzerland.

Hansen told clients: "Gold’s share of Swiss currency reserves has fallen from 30% in 2000 to 8% currently and if the referendum is passed, the SNB would need to buy a substantial amount of gold over the next three years. So far, the Swiss parliament has overwhelmingly rejected the initiative as it would curtail the SNB’s ability to conduct monetary policy and the SNB could be forced to give up its current peg at 1.20 against the EUR. Holdings in Exchange Traded Funds have dropped to a five-year low while hedge funds have cut their net-long to the lowest since January, and on that basis, this could potentially be the ‘Scottish moment’ for gold as any sign of a potential yes would change the sentiment and direction in the market."

http://www.mineweb.com/mineweb/content/en/mineweb-gold-news?oid=256232&sn=Detail

Russian, Swiss Central Banks Targeting Gold and Platinum


The central banks of Russia and Switzerland are weighing the merits of buying gold and other precious metals, but for very different reasons, Bullion Vault reported

. . .

The Swiss National Bank faces a popular vote on buying gold – aimed at reinstating the Franc’s bullion backing – but many are campaigning against the move.

Voters in Switzerland in 1999 approved an end to the legal requirement for gold reserves to back the Franc’s value, and approved large sales starting at what proved t2wo-decade lows, now some 70% below current prices.

To win a place on Switzerland’s next referendum, scheduled for November 30, the “Save Our Swis Gold” initiative secured over 100,000 signatures on a petition. Its proposals risk the central bank’s ability to ensure price stability and stable economic growth, finance minister Eveline Widmer-Schlumpf said Tuesday. Peter Hegglin – head of the Swiss cantons’ conference of finance directors – also joined SNB president Thomas Jordan’s repeated calls for voters to reject the move.

http://agmetalminer.com/2014/10/13/russian-swiss-central-banks-targeting-gold-and-platinum/

[Jehan]

The third referendeum is to tax more the foreign millionary who come in switzerland?

[Jehan]

Maybe a swiss can explain us the result?
I was surprise they reject all the proposition.

[Zincite]

Maybe a swiss can explain us the result?
I was surprise they reject all the proposition.

Hi, apologies, I've been away from the forum with work.

It was a disappointing result, especially with the immigration proposal being crushed. I voted for all three, but to be honest I could have predicted it. With the immigration, for example, most voters, encouraged from the media and EU pressure, thought it was " too drastic" as it cut immigration to 0.2% of the population. This was expected to raise native wages, but also boost inflation, and many businesses tried to create a panic about that (as you would expect, because it is truly businesses which gain from immigration). We passed an immigration proposal earlier in this year, by a very narrow margin, so it is unsurprising a far larger reduction would be rejected.

The gold proposal just had no major support. More scaremongering from the media crushed its chances. As someone with investment in gold, copper and silver, I had hoped it would be passed, but also it would have been great for sovereignty.

The tax advantage referendum was rejected because some cantons by the Engadin valley depend on this money from foreigners. It's a fair argument, but personally I see the negatives (like driving up real estate prices by foreigners) outweigh this.