Intraday Market Thoughts

Euro Fired Up By Spain Auction & ECB

by Ashraf Laidi
Jan 10, 2013 16:26

The greatest trick the devil has ever pulled was to convince the world he didn't exist” – The Usual Suspects. But Draghi convinced the markets the OMT did exist in September without activating it. What ensued thereafter was a virtual easing, with peripheral bonds, equity indices and euro currency moving from strength to strength. Euro is powered up (highest daily percentage gain since September 7, 2012) after the ECB press conference revealed that none of the governing council members called for a rate cut at today's meeting, which added to the currency's earlier gains triggered by a strong Spanish bond auction. FULL CHARTS & ANALYSIS HERE

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Euro Fired Up By Spain Auction & ECB - Net Eur Longs Jan 10 2013 (Chart 1)

 
 

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