It's Only Words But FX Is On The Move

The "unnamed official" is not getting their due credit for some of the recent market movements in forex-land. These individual have added to the quality of volatility for dealers and investors alike in this 'economic summit season.' Characteristically, they are consistent and have appeared after most high profile policy points have been delivered in recent times. Thankfully, they are the individual's that are translating some of these policy's meanings and insisting on what market movements should be.

Last week the single currency fell awkwardly after ECB's Draghi's communiqué was delivered. In some corners it was viewed as a feeble attempt by the Central Banker to talk his currency down from elevated heights. The "unnamed source" was there to interpret his comments more accurately for the layperson. In translation, they highlighted that the value of the currency should be considered when assessing monetary conditions.

On Monday this week, the market took its...