Browsing Category

Markets

ECB Intervention Unlikely

The euro has rallied about 1% and has spurred talk of ECB intervention.  We are skeptical.  There seems to be little reason to expect the ECB to intervene outside of its time zone in a unilateral fashion.  Convention, we…

Europe Still in Denial

As noted in the daily, Eurogroup head and Lux Prime Minister Jean-Claude Juncker has played down need to intervene in the foreign exchange market, saying there was no need to defend the euro.  Yet in the same interview, he claimed that…

Short Euro Liquidation

Because of short covering, we may eventually see a much larger reversal in the Euro than we have seen to date. And although I recently noted that the Euro was still overvalued on a purchasing power parity basis, nothing goes down in a…

A Sea Of Red

If an ECB in QE mode, €60 billion in cash, €440 billion from a pooled EMU effort and €220 billion from the IMF only lasts a week, then I'd humbly submit that we have a problem.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More