Who “doesn’t” think The ECB will disappoint markets with Thursday’s announcement of its “proposed” plans to initiate full-blown QE?
Draghi is well-known for his “silver tongue” – but it takes money to buy whiskey.
In order for Draghi to satisfy the “massive expectations” of Wall St. and the global investment community at large – he better have a lot of it. I’m thinking that anything less than “1 Trillion Dollars” ( which still won’t be enough to even make a dint ) will be seen as a disappointment, as markets have already priced this in.
The Germans are still very resistant to the idea, assuming they will inevitably be left holding the bag in supporting “the rest of Europe” with their own economic output, and as I’ve come to understand it – there are still several legal hurdles to be overcome before just ” cranking up the presses”.
It would not surprise me in the least to hear “suggestion” of QE to be rolled out later this year, or perhaps some “paltry amount” bullshit program aimed to temporarily shake the wolves off their backs – either way….it will do nothing to stave off the current economic spiral Europe finds itself in.
QE from The ECB will do absolutely nothing to change the trajectory of a further weakening European economy, a further weakening U.S economy, a further weakening Japanese economy – and the list goes on.
Short of a very near term bounce ( which we’re seeing now ) I expect another series of “long red candles” coming – “post ECB meeting” Thursday.
