EUR

I shan't bore you with my long reply. The fact is she misunderstood what I said about our council election results being bad for weakening the coalition government and that I thought the govnmt may not now see through their full term. I am anticpating cracks to appear quite soon. I was not praising our politicians. I am the original Mr Doom, even before Roubini.

Cat, if yer serious then try Ambrose Evans-Pritchard at The Telegraph.

I just had a load of ear ache on this subject from a friend of mine who is in the know and based in Zurich. Here is what she said. She has been talking about this german agenda for last 9 months.

"You always get me going on UK. :)

I dont know where you derived your confidence in UK politics. Trust me that once the Olympics are over, the UK will truly become little. The unfortunate part of this whole game is that Germany is just reliving WW2 without anyone noticing that they are slowly but surely finishing off UK economically. I think DC is smart and know this. He is really helpless given the deficits that UK runs (13%? can you imagine what they have got us into? UK was surplus once. What happened in the last 10 years? and where is the prosperity related to all that spending? These are questions which will make you worry about the thieves running this country)They are taking our savings and sending them free to Barclays and other banks who are then passing them over to the Asians and Commodities. On the hand Germany has just become the richest country in the world with over 10trillion EUROS in *free* cash flows. Balance sheet is much bigger now approaching over 20trillion. They will buy Europe which they are anyway doing. But the biggest will come when a debt ridden UK goes begging to Germany. It will happen. I am not a nazi but I know when they are around.

UK is still working its way around the French who are being nicely setup by Merkel. Keep your eyes on Schaueble by the way. He is important. Try studying his family. Do you know there was an assaination attempt on him once? Am just giving you pointers.

Let me also warn you: Germans never forget their losses And this time they seem to have got the strategy dead on for avenging their losses. I think Americans already know this and they are fighting this the only way they can....which is load all the debt onto the Asians. Once the Chinese side with the Germans (matter of time) they are going to dump UK gilts and US treasuries in a flood and there will be swaps in place which will swap EU bond for a UK Gilt or US Gilt. In fact Investment Banks will help those things as they earn fees. Anyway these are things in the future but I just wanted to quip your confidence in the jokers who are running this great country. They are thieves. They have sold us black and white to the banks. Can you imagine the BOE is about to start another round of QE at a time when deficit is the highest in the world? Where has the money from first QE gone? When you find the answers to these questions, you will know what the Germans are upto.

E-bonds should happen pretty soon but not before Draghi might be Kicked out. He is a joker in the pack placed specifically by the Americans (They are smart arent they? What would UK do without the Americans?). Under Draghi, the Germans are increasing the EURO circulation by printing. The SNB has placed a peg which is similar to the 1930s Gold peg. By increasinging the EUROs in circulation, they are making sure that there is so much euros, that ultimately the Asians (HK specifically) will not mind stocking up these coins instead of debt ridden Dollar.

By the way am not German. Am still die hard lover of UK but I know UK could be history pretty soon and I and you cant do jack about it. It is not the politicians who are destroying our country. They are too dump for the Germans to even work with them. It is the BOE who are hand in glove. :) "

looks like Euro has taken a clear direction... South...

may see a bounce @ 2750/2800 level but see it move lower below 2623 in coming weeks.... TP 2200/2250 level...

gl/gt

g'day.. few gaps around and now 1.3 option barrier in euro is history.. high volatility prevails.. result of it all.. scalpers and option sellers nirvana..:-)

Sarkozy announces retreat from politics France24 reports. Perhaps he joins GS for fx trading?
Hollande victory not a suprise imo. More of a surpise is election in Greece. Leftists and rightists win , austerity promoters could run an very instable minority administration.