The ECB printed a little more money than the market’s expectations, but well within the expected range. As shown below, the DAX has given back about 60% of this morning’s early gains. Most markets are either up a little or down a little - nothing dramatic either way.
It seems the FX market is just a little edgy this morning. A few brief words from ECB member Benoit Coeure on the possibility of short-term LTRO repayment (if rates are cut to negative) appears to have reminded traders that LTRO doe... Read Post
Just over a month ago we laid out the market's key indicator for whether NEW QE (or the just as fungible LTRO / unsterilized money printing from Europe) was likely. The 5Y5Y forward inflation expectation has been invaluable in front... Read Post
European markets are down early Thursday. Here's the scorecard: France's CAC 40 is down 0.4%. Germany's DAX is down 0.6%. Spain's IBEX is up 0.6% Italy's FTSE MIB is down 0.9%. Britain's FTSE 100 down 0.2%. Asian markets closed down... Read Post