Global Macro Trading Journal

Discussion in 'Journals' started by Daal, Feb 25, 2011.

  1. #2331     Nov 23, 2011
  2. #2332     Nov 23, 2011
  3. But the ECB charter specifically and explicitly outlaws money-printing to bail out any EU governments. Not only do the Germans have to come round to money-printing (not something that would happen overnight), but then there has to be a legal process to change the ECB's charter, supported by most EU member states. This isn't going to happen within 48 hours of the Dax making new lows for the year, and might not even happen at all.
     
    #2333     Nov 23, 2011
  4. What is the difference between "printing money" and buying periferal bonds as they have been doing for months now?

    Is it strictly the sterilising or not?
     
    #2334     Nov 23, 2011
  5. I don't see any way to get an edge there - how do you know if it was random suicide, or suicide because he/others cooked the books?

    If it was the latter, then chances are it falls 50-75% or even more before it becomes a buy.
     
    #2335     Nov 23, 2011
  6. Bild reporting Merkel dropping resistance to eurobonds. Pavlovian markets rallying. Truly sad and pathetic.
     
    #2336     Nov 23, 2011
  7. I checked their site nothing there...
     
    #2337     Nov 23, 2011
  8. This is incorrect. There is nothing in the current law that prevents the ECB from making unsterilized purchases of EU member countries government bonds in the secondary market. It's allowed within their monetary policy transmission framework.
     
    #2338     Nov 23, 2011
  9. #2339     Nov 23, 2011
  10. Yes.
     
    #2340     Nov 23, 2011