Once again, markets are very quiet.
The big event today, coming up this morning at 7:45, is the ECB decision. There is a widespread belief that the ECB is going to ease monetary policy in some matter, while trying to boost lending.
Both commentary from top officials and a raft of disinflationary data support this idea that it’s time for the ECB to ease.
The Eurozone has recently been drifting dangerously close to deflation, as price data is at its weakest since the crisis began.
Meanwhile, there’s been some weakening in “core” Europe again, as German economic numbers have begun to flag.
Combine all that with a very strong Euro currency (too strong for Europe’s tastes, since the strong currency hinders exports) and there’s all kinds of pressure on the ECB to act.
Of course, the ECB should have probably done a lot more a long time ago, but the slow pace is how Europe acts.