ECB President Draghi Goes Comical Ali

Mario Draghi, president of the European Central Bank, told a press conference following the meeting of the ECB Governing Council in Frankfurt this afternoon that “the euro is irreversible”. Asked by the media what he meant by that he exclaimed to much laughter “It stays, it stays, it stays. It’s pointless to bet against the euro, it’s pointless to go short on the euro.” From the beginning of the press conference to the end the € fell 200 pips against the $, so he was proved factually incorrect before he even finished speaking.

At the end of the press conference Spanish yields were back over 7%, capital flowed into German bunds as a safe haven, trading in Italian bank stocks was halted, the euro had pointedly rewarded those who were short and bet against it, costing the ECB a lot of credibility. Spain has now been told it will, like Greece, have to formally ask for a bailout on austere German terms. The can has been kicked down the road again, the end of the road however is in sight…




Tip offs: 0709 284 0531
team@Order-order.com

Quote of the Day

John Curtice on fiscal policy:

“Attitudes to taxation and spending are basically counter-cyclical. If a government comes in and tries to reduce spending and taxation, after a while people will get worried about the state of public services. If a government increases taxation and public spending, after a while they’ll get concerned about increasing taxation…. In as much as there are lots of ideologues out there who think the state should be this proportion of GDP, they’re all wrong. Because the public’s view is counter-cyclical to the recent experience. It’s basically impossible to satisfy the public.”

Sponsors

Guidogram: Sign up

Subscribe to the most succinct 7 days a week daily email read by thousands of Westminster insiders.
Onions and #Megabantz: Truss’s Twitter Makeover Onions and #Megabantz: Truss’s Twitter Makeover
Did Heywood Have Permission to Defend Remain Ally Robbins? Did Heywood Have Permission to Defend Remain Ally Robbins?
Day 2: UKIP Resignations Rolling Live Blog Day 2: UKIP Resignations Rolling Live Blog
Galloway Backs Evolve Blog ‘Editor’ for Parliament Galloway Backs Evolve Blog ‘Editor’ for Parliament
New Tory PPS List In Full New Tory PPS List In Full
Oxfam Go Full Corbynista Oxfam Go Full Corbynista
UKIP NEC Votes No Confidence In Bolton UKIP NEC Votes No Confidence In Bolton
Greenpeace Still Making Fake Wind Claims Greenpeace Still Making Fake Wind Claims
Sunday Show Highlights Sunday Show Highlights
Local Labour Members Want Jared Deselected Local Labour Members Want Jared Deselected
Last Days at BuzzFeed Last Days at BuzzFeed
Bolton: She Came Round But I Didn’t Sleep With Her Bolton: She Came Round But I Didn’t Sleep With Her
Jared Victim: He Shouldn’t Be Back in Westminster Jared Victim: He Shouldn’t Be Back in Westminster
Sick Jared Back to Work Sick Jared Back to Work
Ann Black Purged by Red Terror Ann Black Purged by Red Terror
Parole Board Admit Processes Breached Parole Board Admit Processes Breached
Paul Mason: Aggressive and Intimidating Paul Mason: Aggressive and Intimidating
James O’Brien’s Carillion Fake News Goes Viral James O’Brien’s Carillion Fake News Goes Viral
O’Mara Hasn’t Helped a Single Constituent in Months O’Mara Hasn’t Helped a Single Constituent in Months
Credit Where Credit’s Due Credit Where Credit’s Due