• German economic growth temporarily paused; could strengthen toward year-end
  • Fiscal compact could fall short
  • Developments in Greece less pleasing than Italy, Spain, Ireland
  • Crisis can’t be solved with printing press
  • Can’t side step ban on ECB funding states

Weidmann has consistently warned that the fiscal compact is being watered down, Rules are meant to be broken, anyhow…

EUR/USD consolidating its late European rally at 1.3020, an impressive recovery of its NY losses. 1.3080-ish remains the key topside hurdle for the bulls.