As foreseen, ECB did not change its interest rate for many reasons. First Draghi has to see the effect of the former decision to lower the interest rate in the market. And yet it is too early to see the impact.
Second, issue is that there is still cheap money in the market and no risk of inflation. Therefore, the parameter will not change on the short term basis.
FED decided not to increase its interest rate before 1Q13, which gives a lot of room for Euro and BULL on the upside.
The headline goal remain the same.
The correction is rather normal because of ECB statement and overall because we did reach an overbought level.
You can compare the analysis with the previous one.
Second, issue is that there is still cheap money in the market and no risk of inflation. Therefore, the parameter will not change on the short term basis.
FED decided not to increase its interest rate before 1Q13, which gives a lot of room for Euro and BULL on the upside.
The headline goal remain the same.
The correction is rather normal because of ECB statement and overall because we did reach an overbought level.
You can compare the analysis with the previous one.
