Switzerland Defends Euro Ruins Swiss Franc

The Swiss franc tumbled against the euro and dollar on Tuesday after the Swiss National Bank set a minimum exchange rate target of 1.20 francs per euro to combat the strength of the currency, which it says poses a risk to the economy. Swiss franc falls sharply against the euro after the Swiss National Bank pegged the exchange rate at SFr1.20 against the euro. – UK Telegraph
Dominant Social Theme: The Swiss, gallantly, will do whatever they need to in order to defend the euro, even if it means debasing their own currency.
Free-Market Analysis: Switzerland is one of those rare European countries that are doing relatively well in a time of international economic crisis. But doing well is not something that can be tolerated in the "new" Europe. The Swiss have come under enormous pressure on a variety of fronts to make their sociopolitical environment conform to the larger dysfunction of the EU – and now they're ruining their currency at the behest of Brussels.
The Swiss move to set what is basically a link between what might be considered a dying euro (in its current form anyway) and the Swiss franc itself, which has been rising in value dramatically as people seek an alternative to inflated paper, will have the effect of debasing the value of the franc. What are the results? No more safe haven in the Swiss franc. Inevitably, this will benefit gold, which will be seen as rising as paper currencies around the world are further debased.
Daily Bell