Portugal’s Constancio is back on the wires saying their is no alternative to the dollar for many years ahead as the reserve currency. He cautions against premature withdrawal of stimulus and says he sees no real inflation risks. Global imbalances have to be resolved or a new crisis is possible. Banking woes are not over, the banker says; banks need more capital.
Constancio giveth and Constancio taketh away; EUR/USD is dipping on his latest comments after rallying on lack of concern over EUR strength earlier. EUR/USD trades at 1.5017.
