26 Jul 2013
Flash: One year on from ‘whatever it takes” – Societe Generale
FXstreet.com (Barcelona) - Kit Juckes, Global Head of Currency Strategy at Societe Generale said “We are one year on from "whatever it takes" “.
Key Quotes:
“The euro has held together, no-one has left, spreads are tighter, PMI is back up, sun is shining and even the Spanish unemployment rate has fallen”.
“Mario gets A* for originality and effort, if nothing else. My concerns are two-fold - firstly that by divorcing markets from the Euro Zone's woes, Mr Draghi tempts politicians into thinking everything is OK”.
“OMT is fine as long as it remains unused. It's a shame Jurgen Stark's in Handelsblatt saying it WILL be needed in due course”.
“OMT means Spanish and Italian bonds are the same thing, except the former have more yield.”
“I like Spain vs Italy or vs Germany, and a propos little, I like France vs Netherlands. I even, tactically, like EUR/AUD here, as the better PMIs can see the euro spike. And I like receiving short-dated (1yr/1yr) euros vs GBP or outright as post 'taper-talk' normalisation goes on. Front short sterling futures are back to pre-taper-talk levels, not so euribor”.
Key Quotes:
“The euro has held together, no-one has left, spreads are tighter, PMI is back up, sun is shining and even the Spanish unemployment rate has fallen”.
“Mario gets A* for originality and effort, if nothing else. My concerns are two-fold - firstly that by divorcing markets from the Euro Zone's woes, Mr Draghi tempts politicians into thinking everything is OK”.
“OMT is fine as long as it remains unused. It's a shame Jurgen Stark's in Handelsblatt saying it WILL be needed in due course”.
“OMT means Spanish and Italian bonds are the same thing, except the former have more yield.”
“I like Spain vs Italy or vs Germany, and a propos little, I like France vs Netherlands. I even, tactically, like EUR/AUD here, as the better PMIs can see the euro spike. And I like receiving short-dated (1yr/1yr) euros vs GBP or outright as post 'taper-talk' normalisation goes on. Front short sterling futures are back to pre-taper-talk levels, not so euribor”.