<p>Swiss stocks surged over three percent in early trading on Tuesday after the Swiss National Bank announced a currency peg of 1.20 francs per euro.</p>
<p>The Swiss government outlined on Wednesday how it will disburse the first tranche of a planned 2.0 billion francs in aid for the economy in order to offset the impact of a strong local currency.</p>
<p><span lang="EN-GB">Deposits in Swiss banks by foreign private clients have dropped by 73 billion francs ($92.5) over the course of the last year, according to recent statistics from the Swiss National Bank (SNB). </span></p>
<p>A soaring Swiss franc is a threat to Eastern European economies as households struggle to repay the now much costlier loans they took out in the currency in better times, analysts warn.</p>
<p>Two out of three Swiss want the country's central bank to stem the franc's rise and over a quarter are calling for an exchange rate ceiling against the euro, according to a poll published on Sunday.</p>
<p>The Swiss government said on Wednesday it would spend two billion francs ($2.5 billion) to counter the impact of the strong franc on the domestic economy.</p>
<p>Ratings agency Moody's raised its appraisal of Swiss banks to stable from negative on Tuesday, citing improved earnings and a swift recovery of the Swiss economy.</p>
<p>The Association of Foreign Banks in Switzerland said Wednesday that there has not been an exodus of banks, despite attacks on the country's banking secrecy rules.</p>
<p><span style="font-family: arial, sans-serif; font-size: 13px; border-collapse: collapse;">Reinsurance giant Swiss Re estimated on Monday that Japan's earthquake and tsunami have cost it some $1.2 billion, but said this figure could be revised upwards.</span></p>
<p><span style="font-family: arial, sans-serif; font-size: 13px; border-collapse: collapse;">Reinsurance giant Swiss Re said Monday that damage to Japan's nuclear facilities in last week's devastating earthquake is unlikely have a significant impact on the property and casualty insurers.</span></p>
<p><span style="font-family: arial, sans-serif; font-size: 13px; border-collapse: collapse;">Reinsurer Swiss Re has said the New Zealand earthquake would cost insurers up to $12 billion, with its own bill reaching $800 million.</span></p>
