What’s happened? The disappointing numbers came out, and euro briefly shot up to 1.1980 before it lost all its gain and then some.
The shocking turn around appears to be affected by the ECB. It indicated that it wanted extreme prudence on policy and communication. The ECB won’t be ready to taper QE until December.
Next week, the ECB rate decision will give us an update on the bank’s stance with their stimulus program. It appears we have gotten the update early.