I’ve written before about my frustrations with central bank intervention, and today I’ll write about it again. I just can’t trade on anything but central banker speaking dates. Yesterday, we had a pre-Draghi post-Draghi opening and today we had follow through. Will weekend rumors calm the overexcited? They’ve started already with the WSJ reporting that other ECB board members are a bit surprised by Draghi’s comments and who better than ZH to add fuel to the fire (here).
The best and maybe most actionable information would be this quote:
If the ECB does nothing next week, the markets will tumble.
I tend to agree, yet something other than talk is unlikely, and I can’t deny the markets reaction, so in-the-end who cares if things change or not? Paul Krugman seems to be ok with the status quo (here). With today’s market reaction who could disagree, deficits schmesifts!