Juncker fuels speculation on ECB bond purchases
Extraordinarily, in claiming that the ECB will announce authority for the ECB to commence bond purchases to ease the Spanish crisis, seems to reduce the benefit to zero for both the short and long term prospects for the common currency. Juncker's comments may be read in a report from the Irish Times this morning, linked here. A quote from that paper including one from Le Figaro is as follows:
“Just what measures we will adopt [to secure the euro], we will decide in the coming days – we have no time to waste,” he told the Le Figaro newspaper. “It is not yet decided what exactly we will do. That depends on the developments in the coming days and how quickly we have to react.”
So the markets will be left in complete uncertainty, albeit probably behave as normal and temporarily rise between now and Thursday, but then collapse if further useless platitudes emerge on Thursday or Friday morning, being completely routed by next Monday as individual nations announce they will not participate in any backing for ECB bond buying, which will be national suicide for the remaining triple A rated countries, of which there are already few still remaining within the disastrous Euro Group!