Towards the end of last week rumours grew that the ECB was planning to lend money to the IMF which would then bail out troubled countries. Such a move would bypass rules which prevent the ECB from buying sovereign debt directly. However, there are bound to be objections to the plan, specifically from Germany and the Bundesbank. So for now, traders and investors are keeping a close eye on the euro.

At some point the printing press will need to work overtime, and impending inflation is the effect. Basic economics increase supply, demand drops and so with it the price.