The Swiss National Bank scrapped its cap on the franc against the euro. The immediate result is the Swiss franc rallied against the euro and the dollar, which will make imports cheaper, but exports more expensive for Switzerland. The Swiss bank also cut rates.
The Swiss stock market is down about 10 percent, including bank stocks like Credit Suisse and UBS. However, Swiss stocks that trade in the United States, which are quoted in dollars, are trading up because the Swiss franc has rallied against the dollar.
1) Best Buy had great holiday sales, but gave lousy guidance. Holiday sales growth of 2.6 percent was well above expectations of roughly 1 percent. Online comparable store sales were up 13.4 percent. These are good numbers! Best Buy should have stopped there.
Guidance for the first half of 2015 is for flat to down comparable sales and lower margins. That's disappointing, considering how strong mobile phone and home theater sales appear to have been. Maybe Best Buy is just being ultra-conservative.