- BOJ: $146 billion monthly
- US Fed: $83 billion monthly
- SNB: Buying ~ $10-20 billion Euros monthly(They've pledged an unlimited amount to support 1.20)
- BOE: Averaged about $15 billion monthly since October 2010(Flat for now)
Relating to EUR/CHF shown here, it is easy to see where the SNB is starting to intervene to artificially inflate the Euro. This downward slide started back in February right near the LTRO payment(which was way lower than expected). This leaves a few options in my opinion:
- Economic situation improves in the Euro group(not looking likely)
- The SNB has to implement a negative deposit rate(possible)
- The LTRO payments will continue to be drastically scaled down or the ECB starts 'printing' more money(most likely)
It's also easy to see where talk of BOJ measures caused anticipation then uncertainty about their measures while awaiting commitment. Now that their asset purchases are moved up among other plans this moves the slide for the Yen from talk to action, and I believe this starts the leg to USD/JPY to 100.
- US Fed: $83 billion monthly
- SNB: Buying ~ $10-20 billion Euros monthly(They've pledged an unlimited amount to support 1.20)
- BOE: Averaged about $15 billion monthly since October 2010(Flat for now)
Relating to EUR/CHF shown here, it is easy to see where the SNB is starting to intervene to artificially inflate the Euro. This downward slide started back in February right near the LTRO payment(which was way lower than expected). This leaves a few options in my opinion:
- Economic situation improves in the Euro group(not looking likely)
- The SNB has to implement a negative deposit rate(possible)
- The LTRO payments will continue to be drastically scaled down or the ECB starts 'printing' more money(most likely)
It's also easy to see where talk of BOJ measures caused anticipation then uncertainty about their measures while awaiting commitment. Now that their asset purchases are moved up among other plans this moves the slide for the Yen from talk to action, and I believe this starts the leg to USD/JPY to 100.