This page has been archived and commenting is disabled.
Gold & EUR Drop After ECB's Coeure Counters Weidmann's Warnings
More of the same blather from Europe as following Weidmann's earlier comments with regard the high-hurdles that the ECB still faces over sovereign QE, Coeure has come out to counter that by noting that the ECB does not have to see deflation to act and that they want to have a discussion of asset-purchases next week. EUR faded the Weidmann gains and Gold and silver are sliding as USD strengthens.
The head of Germany's Bundesbank cautioned the European Central Bank on Monday about the legal hurdles it would face in embarking on money printing to buy government bonds, underlining its opposition to such a move.
"Instead of focusing on the purchasing programme, we should focus on how you find growth," Weidmann told an audience in Madrid, when asked about the possibility of the ECB purchasing bonds issued by euro zone states.
He warned that it would be difficult to pursue such steps to lift low price inflation, a key yardstick of economic health.
"Of course there are other measures which are more difficult, because they are untested, because they are less clear ... and of course they hit the legal limits of what you can do," said Weidmann.
"This is why discussions are so intense," he added, having earlier highlighted "high legal hurdles" to any financing of states.
Then Coeure...
- *COEURE SAYS ECB WANTS TO HAVE ASSET-BUYING DISCUSSION NEXT WEEK
- *COEURE SAYS ECB MUST DISCUSS ALL OPTIONS ON BUYING NEW ASSETS
- *COEURE: LOW INFLATION AS BAD AS DEFLATION REGARDING DEBT IMPACT
- *COEURE SAYS ECB DOESN'T NEED TO SEE DEFLATION TO BE WORRIED
- *COEURE SAYS ECB WILL HAVE SERIOUS, PRINCIPLE-BASED DISCUSSION
And this...
Charts: bloomberg
»
- 7951 reads
- Printer-friendly version
- Send to friend
- advertisements -
Ve have vays of making you stop destroying your currency. Ze var is over for you Tommy!
German translation:
FICH DICH EU!
Draghi -
blas mir einen Fotze!
<3 Haus
I still don't understand how a "more QE is likely" comment would spark a drop in gold like this. Maybe some CB selling was timed against these comments to help convince markets that QE is bad for gold?
Who the fuck is this clown coeure?
the dude who monkeyhammered gold $2!
The guy is french :) No need to say more !
newsflash....@BloombergNews 1m
1 minute agoHealth and Human Services Secretary calls for agency review after inflated Obamacare numbers: http://bloom.bg/1uwZFjH
haha,seems europe want to devalue currency but they can't do it
We should expect bazooka very soon.
They can't devalue because goods are already traded to death so as to obtain scarce currency.
The solution is to return purchasing power back to people and bring back the national and local economy
same BS move along nothing to see, just keep on taking your marching orders from the tribe
European 'growth' since at least 1990 has been extractive.
However monetary reform can return wealth to people that can be used at the human rather then corporate level.
For example a national government can instruct its national central bank to print Euros to say pay off private debt.
This will not be inflationary - it would be a redistribution of wealth.
Oil consumption would crash (now no need to use cars to chase scarce money) while living standards would rise.
France could do this at any time and not break any fiscal rules.
It would of course lead to a implosion of the euro but if France went back to the franc immeditaly it would possibly be forced to export its wealth in return for Euros.
EKM
There goes your Pentagon lobby .... was not that difficult now was it?
Got to listen more to Zero's i guess ... cheers
EZ a hotly divided zone now.
Draghi in the eye of the cyclone or just jockeying for more breathing room?
He does have the possibility of increasing ABS by 1 trillion to previous levels.
But Mutti would be the ultimate nation as lender of last resort.
Some catch 22 right there. As the recessionary environment makes systemic moral hazard all the more valid in EZ banks.
Eurocurrency will never work in the end. Multi-linguistic unions have a strange tendency NOT to work.
Imagine that. Fundamentals.
Where we are now is disinflation will be deemed deflation, we will skip deflation and go into super-inflation, then we'll get world war going in Ukraine and probably Syria and Lebanon.
You know... maybe.
Why doesn't the ECB ever consider cutting a check in the equiv amount of $10,000 to every citizen with a net worth under say $500,000?
It's so fucking hilarious that "progressives" in essence favor "trickle down" economics - but have convinced themselves that it's something other than a wealth transfer from productive labor to aggregations of extant capital.
Clearly, these smart people know it's bullshit and it's a matter of providing rhetorical lubrication for the ass-fucking everyone who works for a living continues to get from this tiny handful of pernicious, megalomaniacal parasites.
Could that be abbreviated to "It's all theft and lies"?
"having earlier highlighted "high legal hurdles" to any financing of states."
been the same song all along from germany ... just don't see them changing tune (absent iron clad fiscal union measures)
Silver is not buying this move. Futures expiry, Swiss gold referendum, Black Friday storm.... could be an interesting week.
Gold drops because (insert any words of any description here)
Gold drops because banksters manipulate it
No real reason is necessary
If the US had sent each citizen a check for 2700.00 instead of spending it on (not so) shovel ready jobs, one has to ponder how much better off would we be. OOOO I forgot, graft and corruption does not work when you do that, never mind.
I haven't figured out if governments are more afraid of deflation or ebola. They certainly spend far more on deflation than anything else even defense. Obama spends more time talking about ebola and immigration than he does on deflation. Is it too complicated for the common man to understand deflation, inflation and money supply?
Spend on "deflation" is another word for redistribution of wealth for the rich.
Inflation = the rich get richer Deflation = the rich get poorer They don't give a dam about anyone else.
Wrong and wrong. The mean effect to one's wealth depends on terms of any debt one incurs and during which alternating period - of inflated valuations or deflated valuations - one set one's marks at. Those with fixed incomes do suffer but if you have no debt and your income remains par, what unfavorable effect to your wealth is built-in to inflation or deflation? The fear of deflation is the fear of running the ship of state upon the shoals i.e. not enough depth to float the thing. But the rich remain rich, either way.
No you are wrong wrong Inflation keeps the value of assets held going up, debt associated with the asset becomes smaller and smaller as a percentage. also with rising prices it is easier and easier to make those payments. IE rich get richer Deflation assets decline in value, debt does not reducing net worth. the rich get poorer. Debt is also harder to service based on lower income from operations. the rich never get poor but they do get hurt that's why cash is king in deflationary times.
Strange how creating more money makes Them richer but us poorer.
Silver and gold are hanging tough, I see no big slide.
They are already in the toilet, but it's never enough for the planners.
They beat and pound all day and night, just to hold them static.
Pricks.