Menu
Sister Sites

  • Draghi: Central banks should concentrate on price stability

    From europa.eu

    I very much appreciate having the opportunity to intervene in this conference, not only because it honours Curzio Giannini, but also because the issues that were close to his heart have turned out to be fundamental questions concerning the role of central banks in the post-crisis environment. The morning session has touched upon topics of vital importance for central banks. I would summarise them along two main lines. First, should the objectives (though not necessarily the mandate) of central banks be broadened? Second, and related, how can central banks retain and increase public trust and preserve their legitimacy ... (full story)

??????????????????????
hahahahahaha.............
Again price stability! It means euro up
You cannot learn better without losing
Quoting forexings
hahahahahaha.............
Again price stability! It means euro up
to where to sky ?!
Quoting klm2020
to where to sky ?!
To 1.4. No negative interest. If nothing cahnges significantly, EU is in the range of 1.35 - 1.4.
Quoting forexings
hahahahahaha.............
Again price stability! It means euro up
....but every time Draghi speaks the Euro goes down.
Carbon-Dioxide: the gas of life!
Quoting frx_trader
To 1.4. No negative interest. If nothing cahnges significantly, EU is in the range of 1.35 - 1.4.
so why everyone is talking about if euro reach 1.4 it will hurt euro (of course it is because of exports )but why it doesn't hurt gbp as pound continue to rise
can any one answer that ?
  •  Guest
  • | IP XX.XXX.0.97
Not always and there are times when many of his speeches have very little effect. However, IMHO the ECB wants the euro down to 13000 sooner rather than later, one of his "I'll do everything in my power" speeches will be aired to try and accomplish this loose target before any bond buying or other monetary easing methods.


Quoting Exodus
....but every time Draghi speaks the Euro goes down.
market knows he is all talk and is now showing him he wont be able to get away with just talk ...
Quoting klm2020
so why everyone is talking about if euro reach 1.4 it will hurt euro (of course it is because of exports )but why it doesn't hurt gbp as pound continue to rise
can any one answer that ?
Well, if they don't talk about the hurting, nobody will ever know. They don't, so we can just assume that.
Quoting frx_trader
Well, if they don't talk about the hurting, nobody will ever knows. They don't, so we can just assume that.
in other word they want you to believe that while on the other hand it is not i guess (conspiracy)
Quoting klm2020
so why everyone is talking about if euro reach 1.4 it will hurt euro (of course it is because of exports )but why it doesn't hurt gbp as pound continue to rise
can any one answer that ?
Beacuse EU zone is more export while GB is more import oriented.
Quoting skymania
Beacuse EU zone is more export while GB is more import oriented.
i see thanks for illustration
Quoting klm2020
in other word they want you to believe that while on the other hand it is not i guess (conspiracy)
Just trade fundamental, technical, and price action. It's not our job. He is paid a lot. It's better to keep it simple.
  •  Guest
  • | IP XXX.XX.61.96
This is a big time conspiracy against the small traders, Euro will come down after wiping out enough small retailers.
At this price the Euro Zone manufacturing industry will lose out heavily unless ECB lowers the Euro to 1.29/1.30
Quoting Guest
This is a big time conspiracy against the small traders, Euro will come down after wiping out enough small retailers.
At this price the Euro Zone manufacturing industry will lose out heavily unless ECB lowers the Euro to 1.29/1.30
With a 0.25% to 1% risk of equity in any one trade. It should not be an issue, we just take the loss and hunt the next trade..
  •  Guest
  • | IP XXX.XX.61.96
Quoting P3t3rjj
With a 0.25% to 1% risk of equity in any one trade. It should not be an issue, we just take the loss and hunt the next trade..
Thanks for the advice I appreciate it. I agree.
  •  Guest
  • | IP XX.XXX.27.82
Euro need to go up because we need foreign investors to invest in Europe. I see a longterm value of 1.6 eur/usd is very good for Europe. When investment is done, we can devalue the euro so we can easier sell our products that the world needed.

At this moment Eurozone economies cannot devalue the euro because we are far from stabile and we are less actractive for foreign investors. The Japanese can devalue their currency because they have a strong position in the market. It doesnt work for the Euro if we do that.
  •  Guest
  • | IP XXX.XX.62.34
"Euro need to go up because we need foreign investors to invest in Europe"?
I think it's the other way around... Investors are attracted by cheap opportunities. They believe that Europe is going to recover and that what is bringing money to the Euro right now: they believe that the Euro is cheap and undervalued now and it's worth buying the currency for the future because China and USA are getting better.

However, Europe is still in crisis. It's known that the ECB needs to tackle the deflation either printing more currency or bringing the <0% interest rate.
The biggest indicator is the jobless high rate among the young population. There is no merit for the Euro to go up and it's merely speculative.

Added to this, USA is going to announce the end of the buying assets program soon or later. In long term, USD has potential to get stronger.

However, I frankly don't know the impacts of the end of the taping in USA/EUR currencies. After seeing the Euro going up after Jobless rate in US going down, I don't know if I trust my judgments in the fundamentals anymore. There is always something undercover that we mere mortals can't see.
Quoting Guest
After seeing the Euro going up after Jobless rate in US going down, I don't know if I trust my judgments in the fundamentals anymore. There is always something undercover that we mere mortals can't see.
Bull's eye. Good analysis. But I don't know if market agrees. I read Don't trust the economist, they always have ideal never work ideas. You will get yourself fired for listening to them.
Relax. The aim of FX is to hunt SL's and to wipe out small traders.
Quoting Guest
Euro need to go up because we need foreign investors to invest in Europe. I see a longterm value of 1.6 eur/usd is very good for Europe. When investment is done, we can devalue the euro so we can easier sell our products that the world needed.....
No the Euro needs to go down to attract investors, and if they even suspected that the Euro might devalue afterwards that would stop the inflow dead.

There are two things driving the Euro at the moment, IMHO. The balance of trade is always positive, so there is a net demand for Euros. There is also evidence of recovery in some of the members, and Portugal has engaged in selling houses to the Chinese - so long as they spend enough they win residency rights and the right to carry out business.

....wonder what the Greeks could sell to the Chinese?
Carbon-Dioxide: the gas of life!
Apropos nothing in particular I was picking over the bones of John Taylor's FX concepts last week, from the largest FX hedge fund to complete ruin inside a few years, he was adamant that the euro would reach parity with the dollar, obsessional? Not sure but that "markets can stay irrational" quote was at the forefront of my mind. The original target on its launch was parity with the usd, impossible to 'achieve'? Not sure but I'm convinced a major fall is required.


Quoting Exodus
No the Euro needs to go down to attract investors, and if they even suspected that the Euro might devalue afterwards that would stop the inflow dead.

There are two things driving the Euro at the moment, IMHO. The balance of trade is always positive, so there is a net demand for Euros. There is also evidence of recovery in some of the members, and Portugal has engaged in selling houses to the Chinese - so long as they spend enough they win residency rights and the right to carry out business.

....wonder what the Greeks could sell to the Chinese?...
"The meek shall inherit the earth.." Yeah right, good luck with that shit..
Quoting Spreadbetter
Apropos nothing in particular I was picking over the bones of John Taylor's FX concepts last week, from the largest FX hedge fund to complete ruin inside a few years, he was adamant that the euro would reach parity with the dollar, obsessional? Not sure but that "markets can stay irrational" quote was at the forefront of my mind. The original target on its launch was parity with the usd, impossible to 'achieve'? Not sure but I'm convinced a major fall is required.
In the theme of "why did USD fall on good US data" I was merely listing a couple of positive drivers of the Euro. I left out the 'big boys playing with retail traders' part. I still believe that when QE reduction starts the US$ will gather strength, and everything else will go down as a result.

John Taylor presumably was firmly of the opinion that the Euro would fall, and presumably did not reckon on the capacity of the Fed to deflate US$. Presumably he also chose to be blind to fundamental data of the kind I mentioned. Personally it has amazed me that US$ holds up so well considering the huge current account deficit that the USA always seems to run. Gradually I realised - there is nothing else; but watch out, here comes the RMB.
Carbon-Dioxide: the gas of life!
  • New Comment
  •  Guest
  • | IP X.XXX.226.14
Join FF
  • Story Stats
  • Posted: Dec 10, 2013 6:09am
  • Submitted by:
     Newsstand
    Category: Low Impact Breaking News
    Comments: 23  /  Views: 7,835