• Lack of harmonisation of economic policy presents “grave danger of disequilibria”

Oh dear.

EUR/USD has slipped back to 1.4065, pretty much where we started out the day. As aforementioned small stops reportedly through 1.4050.

Other comments

  • ECB has delivered price stability
  • Hard and soft data for H2 in euro zone does not warrant increased pessimism
  • Stability and growth pact should be strengthened with graduated sanctions