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Swiss National Bank Says S&P Bond Estimate Is ‘Unfounded’

The Swiss National Bank said a Standard & Poor’s report that it spent about 80 billion euros ($104 billion) this year through July buying debt from the so-called core euro-area countries is “unfounded.”

The decision by Switzerland’s central bank to stem the appreciation of the franc has led to a “de facto recycling” of funds into Germany, France, the Netherlands, Finland and Austria, S&P credit analysts led by Frank Gill in London wrote in a report today. That’s “significantly benefited yield levels on the most-liquid euro-zone sovereign bonds, not least German and French government-debt securities,” they wrote.