Buba’s Weber: German recovery not yet self-sustaining

  • Domestic economy needs investment from banks
  • Thinks Euro zone or German banking rescue package could not be repeated, banks must take responsibility
  • No eurozone state in the future can expect its sovereign debt to be financed by peers
  • Would have wished for more on Stability Pact reform

EUR/USD retains its offered tone in the 1.3820s but defense of a slew of barriers at 1.38 should slow the decline.

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