ECB’s Provopoulos: Doesn’t see 1% as threshold for ECB benchmark rate

ECB’s Provopoulos doesn’t see 1% as a threshold for ECB benchmark rate, and feels rates could go lower if the economy weakens more.

New data indicates euro zone economic activity remained very weak in early 2009. The ECB is examining all elements to enhance credit support, but no decisions have been made yet.

ECB could proceed with purchase of corporate debt, could possibly supply liquidity for maturities up to 1 year. And so it goes……

I just hope the ECB announces a quantitative easing package at their next meeting and we get over all this second quessing.

EUR/USD is steady at slightly higher levels, but it’s slow going. Technical resistances remain at 1.3280/90, which is being tested. Above there we have 1.3320 and ten 1.3340.