SWITZERLAND November 18 2014 12:17 PM
NEW YORK (Scrap Register): Morgan Stanley analysts said that they are not optimistic that the Swiss gold referendum will pass on November 30, even though gold bulls are getting excited about the Swiss gold vote.

If the referendum passes, it would mean the Swiss National Bank would need to purchase about 1,820 metric tons over five years. These big numbers are exactly what the ailing gold price needs.

However, Morgan Stanley sees significant risks to a 'yes' vote. First, the referendum has three questions instead of one, plus the vote needs to have a majority of the vote in the majority of the cantons.

The history indicates that these types of votes rarely lead to change, and finally the national parliament voted against proposal in May because of concerns it would limit the flexibility of monetary policy.