US investment bank Morgan Stanley out with a note 1 Aug
- EZ GDP would be cut by 0.7% within a year
- euro strength favours banks, retailing and utilities most, hurts materials, food/beverage and tobacco
Reuters carrying the story .
So just how will Draghi balance stronger euro with need to taper ? We shouldn't have long to wait to hear whether it be Jackson Hole later this month or September meeting as widely anticipated.
Whether he manages this very difficult double is debatable and will keep analysts, commentators and traders all busy for a long while yet.
Meanwhile EURUSD 1.1814 with EURGBP posting 0.8935 from 0.8925 support area I highlighted and that's capping cable to post 1.3223 from 1.3240 highs.
So who's going to be leading who by year-end ?
