Is the ECB starting to massively print money again?

EB's picture

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simoniddings's picture

An ID is needed when you work in big organizations. It seems that a strict money policy by the European Central Bank is causing the euro zone to go into recession. The growth in Germany was lower. 

Joebloinvestor's picture

They never "sterilized" shit.

They are grasping at straws.

IQ 145's picture

"Predicting the future is real hard; especially the part that hasn't happened yet" A.) B.) C.) D.) it's a multiple choice question, feel free to guess.

Robslob's picture

Here we go again...everybody confusing market performance with the economy.

Let me help you out...production is where it is due to demand.

Printing more money into the hands of bankers does not increase production nor will companies fall for that one again.

Companies have borrowed tons of cheap money only to watch it be devalued as they don't spend it.

Companies don't spend it because they don't see any reason for growth unless it is growth from cutting which only kills demand further.

Grab a clue...laws of gravity are getting organization CB or other can fix the fact "people of fucking broke" and worse, their governments are even more broke.

PulauHantu29's picture

Thanks for posting this. I was wondering if this is just outright printing via bond purchases or if they were "sterilizing" the flood of money. It makes sense for them to increase liquidity since they fear a massive deflationary spiral secondary to the mega-massive Debt and Deleveraging. Even though it will result in seriou sinflation down the road, it seems they prefer a short term fix instead of "austerity".....mmmmm.

You answered my question. Thanks!

IQ 145's picture

Some day you may become aware of the question that you should have asked; and then you will realize that the answer is not on an internet blog; but I suppose you'll be happy enough until then.

Ivanovich's picture

If they're truly printing money, why is EUR/USD still rocking on?

IQ 145's picture

They're not printing money; they're paying the interest coupons on all those Euro denominated bonds with bubble-gum trading cards; so-no problem.

EB's picture

It's only been one week.

brandy night rocks's picture


IQ 145's picture

Is English your first language? Do you have a first languarge?

Western's picture

It was actually pretty funny, encased in such a crystalline sarcasm it was nearly invisible.

disabledvet's picture

John Law did such a great job for Loius. Once more unto the breech!

Frog-And-Toad's picture

What's the best hedge against this (paper version)?


I am heavily invested in physical silver, but wouldn't mind gathering up some fiatcos in the process to add to my silver collection.

lookma's picture

What's the best hedge against this (paper version)?

See the first asset listed on the ECB's balance sheet?  Go look above at the first image.  Do you see it: GOLD!  Not silver.  Not paper hedges.

Seriously, this is not hard.  The ECB "prints money," but oh look, the most important asset on the Eurosystaem's balance sheet is now more valuable too - Euro gold is marked it to market quarterly.

EB's picture

Freegold does nothing to quell the adverse effects on businesses of massive monetary base manipulation over the short to intermediate terms.  It simply preserves savers to an extent.  However, the manipulation hurts productivity as businesses must adapt to large fluctuations in available credit.  Thus, the potential standard of living for all is lowered.  Thus, Freegold is not a panacea.

IQ 145's picture

Another person who doesn't know what they're talking about, a.) and b.) doesn't think logically. Congratulations you make a perfect blog contributor!

EB's picture

Feel free to point out the errors in logic.

LawsofPhysics's picture

Again, if the EURO is marked to gold quarterly and they are printing more EURO, why is the purchasing power increasing relative to the dollar.  Especially since we all know dollars are being lent and printed to backstop the EURO banks?  Big contradictions here, plus the dollar is backed by one governement with a single, rather powerful, army.  This is not the case for the EURO.  Exactly what are you saying?  Looks to me like both dollar and EUROs will become some new world currency that will continue to be devalued against gold.

Everything points to holding physical gold as a good thing, regardless of the paper you use to purchase it.

Frog-And-Toad's picture

So you're saying that this sparkely metal is worth something?!? 

I thought it was just the stuff of pirates and conquistadors...

So, if I invest in this metal, can I eat it?

Paralympic Equity's picture

Long bank CDS, but sell them before the "event" because there will never be any event...

Or wait for 26th AUG, and short the banks from idiotic levels (courtesy of the no volume melt up)

falak pema's picture

Trichet is a "tricheur" Wow!