Updated, 8:47 p.m. | The Swiss central bank’s surprise decision to remove the cap on its currency has incited investor fears that a spate of bank and fund losses could lead to a sustained bout of market turmoil beyond the ability of central banks to ride yet again to the rescue.
The Swiss franc soared against the euro, which tumbled in value against the dollar after the move by the central bank on Thursday. The yen pushed upward, emerging market currencies gyrated and the price of oil rose sharply, reversing its recent fall.