Switzerland has something like 1/2 trillion in foreign currency reserves built up while trying to keep the franc at parity, putting them in a risky position. I think they were preparing for today - they recently lowered interest rates to negative, and now today dropped them even more negative.
Funny anecdote - the last time this happened around 3 or 4 years ago I was on a project in Germany and was surprised at how cheap everything was now with the exchange rate. Dining out felt like I was in India it was so cheap. We bought an Audi (in CHF) around then and they had to reduce the price 30% before the deal went through - then shortly after they pegged the franc to the euro.
Now hopefully the foreigners will start moving their money back into francs and let the property market cool off.
Funny anecdote - the last time this happened around 3 or 4 years ago I was on a project in Germany and was surprised at how cheap everything was now with the exchange rate. Dining out felt like I was in India it was so cheap. We bought an Audi (in CHF) around then and they had to reduce the price 30% before the deal went through - then shortly after they pegged the franc to the euro.
Now hopefully the foreigners will start moving their money back into francs and let the property market cool off.