Voters in Switzerland are heading to polls to vote on “The Swiss Gold Initiative” in a national referendum.
On the ballot is a measure to prohibit the Swiss National Bank (SNB) from further gold sales, to repatriate Swiss-owned gold to Switzerland, and to mandate that gold make up at least 20% of the SNB’s assets.
According to analysts, the Swiss referendum is driven by an undercurrent of dissatisfaction with the conduct not only of Swiss monetary policy, but also of Swiss banking policy.
Gold prices took a dive on November 28 as the market geared up for what could be the metal’s own OPEC moment – when Switzerland will vote on whether its central bank should hold more gold and bring back its other gold reserves held in places like Canada and the U.K.
The result of the Swiss vote is expected at 1PM local time on November 30 (7AM Eastern Time). Latest polls show support is fading for that “Save our Swiss Gold” campaign. If the “Yes” camp wins, gold will see an initial jump in prices.
Under such a vote, the SNB would need to accumulate 1,500 tons of gold over five years.
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