Draghi quote, Euro purchasing power parity, Small business index

“Often wrong but never in doubt”?

Quote from Mario Draghi:

But there is no doubt that if we had to intensify the use of our instruments to ensure that we achieve our price stability mandate, we would. There cannot be any limit to how far we are willing to deploy our instruments, within our mandate, and to achieve our mandate. And indeed the European Court of Justice has stated that the ECB must be allowed “broad discretion” when it “prepares and implements an open market operations programme”.

I can say therefore with confidence – and without any complacency – that we will secure the return of inflation to 2% without undue delay, because we are currently deploying tools that we believe will achieve this, and because we can, in any case, deploy our tools further if that proves necessary. “

More evidence the euro is fundamentally cheap:

And yet another weak release:

NFIB Small Business Optimism Index