In its Monthly Bulletin for November, the ECB says the outlook for price stability has improved further, while the intensification and widening of the ongoing financial crisis is likely to hinder euro-zone and global growth over a protracted period of time.
In the market EUR/USD has seen accelerated gains to 1.2510 at writing. The euro’s cause is being helped, in part, by a short-covering rally in the EUR/JPY cross. This has been triggered by overnight comments from Japanese Finance Minister Nakagawa which raised the spectre of official intervention to arrest the JPY’s budgeoning strength. The cross has put on another big figure in European trading, presently up around 120.15.
