I don't think the ECB will cut rates today simply because they're still trying to get a grasp on what happenings in the EMU economy and secondly because the softer euro is doing some of the policy relaxation for them.

A rate-hike response by the ECB would not have achieved much [and would have been] counter-productive in slowing European growth.

The problem is that the markets were so pessimistic at the start of the year that they now risk overshooting in the other direction. If these [heightened] expectations take hold, there is a danger that they could push up the euro too fast.

There is clearly more tightening just around the corner.

We have been here before.

They are doing everything in their power, I'm sure, to bring Matt home.