-
Disappointing Euro Area and Japanese Data Underpin Greenback
Ahead of the ECB's meeting on Thursday where details of the ABS/covered bond purchase scheme are expected to be delivered, the market is particularly sensitive to developments that could spur a strong policy response. Today's preliminary September CPI figures were seized upon to drive the euro to fresh lows, against both the dollar and sterling. The disappointment was not so much with the headline rate that slipped to 0.3% from 0.4%, though after yesterday's somewhat firmer than expected Spanish and German readings, there was hope of a slightly better report. Rather the problem was with the core rate, which the ECB ... (full story)