The reason that the ECB is showing no signs of wanting to intervene to support the EUR is twofold in my opinion; firstly it isn’t particular low (remember that EUR/USD was at .82 10 years ago) and secondly the obvious way for European economies to become more competitive is to have a lower EUR. The UK looks like it wants to do the same thing, they want a lower sterling to make their economy more competitive. Just to make the issue more complicated, the US really also wants to do the same. Print, print, print. It’s a race to the bottom as a friend of mine would say. Little wonder that gold is rallying so hard in this environment.