Euro/Usd still heading on its downward spiral, trading down today at 1.1074, down from its open at 1.1179. Doesn’t seem like there’s much to prop up the Euro and it would seem that is what the ECB wants. It has taken a stance that inflation has to be higher for a healthy economy, QE is a way of achieving that, which for the short term, until inflation does rise, will mean depreciation pressure on the Euro. What can we expect tomorrow at ECB meeting? Probably more indications and details of €1 trillion QE plan that begins in March. Also on debate will be whether Greek bonds will be accepted again in the buy-back program. Non farm payrolls out on Friday, expected to add 284K jobs with a previous at 257k, my guess any number higher than that could have a serious downward effect on Euro/Usd, as it would bring a stop to 2 strong but declining previous numbers, while being above past 12 month average. In fact it may still have effect if it just comes close.

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