I am concerned the decision will have serious impact on the EUR/USD, at least in the short run. It could be that some speculators and analysts have over-hyped the impact of this decision, but I'm envisioning a scenario where the bond buying program is not executed, the dollar strengthens substantially, and gold and equities take a massive hit which knocks them far away from their recent highs. I would like to hear others' thoughts on the impact of the decision as well.
So no delay on the ESM decision, which means that the headlines should hit tomorrow, 12th of Sep, at 4AM EST. In the meantime, good luck and I leave you all with this heart-warming image:
Well, I'm flat and own nothing. But tomorrow, trading should be interesting. I'm assuming there will be plenty of volume, which was a recent complaint of mine.
In the face of German opposition I just don't see any country getting a good deal even if it's approved. It's not the way they've operated for years. ECB bond buying will have a whole different strategy than the US bond buying program (much cheaper). It'll be aimed at protecting against a default. Not inflating the country like a hot-air balloon.