Swiss exporters including Swatch Group AG (UHR) and Richemont slumped in Zurich trading after the central bank’s decision to scrap its cap on the currency saw the franc jump more than 14 percent against the dollar and euro.
“Words fail me,” Swatch Chief Executive Officer Nick Hayek said by e-mail. “Today’s SNB action is a tsunami; for the export industry and for tourism, and finally for the entire country.”
Swatch, the world’s biggest maker of Swiss watches, dropped 17 percent as of 3:37 p.m. in Zurich, on track for the biggest decline in more than two decades. Holcim Ltd. (HOLN), the world’s biggest cement maker, slid 13 percent. Nestle SA (NESN), the world’s largest food company, which gets about 98 percent of its revenue from outside Switzerland, declined as much as 11 percent, the biggest intraday drop in more than 17 years.
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