This is a point he’s made several times before but it bears repeating: Weber says rate cuts alone cannot solve the market’s problems.
Case in point: Hypo Real Estate. That firm cannot be allowed to go insolvent because if it did the impact would be many times bigger than Lehman Brothers he said.
Looks like these comments helped knock EUR/USD down from the 1.3630s to 1.3575/80. But remember, there is no credit crisis in Europe…
