Bundesbank president Weber says that he believes that “not all burdens” have yet shown up on bank balance sheets. This suggests that many European banks are way behind their US and UK counterparts in ‘fessing up to toxic assets and setting aside appropriate capital to cover future losses. A bad thing for the euro.
EUR/USD has dipped as low as 1.4830 this morning and is eying support layered between 1.4805 and 22. Stops are eyed below 1.4800 in hefty amounts. EUR trades at 1.4844.
