This ECB move is such an extraordinary event that it could have longer term consequences for trends in some markets.
For example maybe some obscure real estate ETF?
What are your thoughts?
The yield to maturity on the 5-year Treasury note has been below 2 percent since July 2010, and the yield to maturity on the 10-year Treasury note has been below 2 percent since May 2012. Yet, looking forward, the Federal Open Market Committee in January 2012 announced an inflation target of 2 percent—implying an anticipated negative real yield over the life of the securities. Investors, facing uncertainty, appear willing to pay the U.S. government—when measured in real, ex post inflation-adjusted dollars—for the privilege of owning Treasury securities.
http://static2.trade2win.com/boards/images/smilies/icon_frown.gifThis won't solve any of Europe's economic problems. Europe is in decline due to social decay and a fundamental lack of competitiveness. The EU chose social harmony and equality over growth and are paying the price with a stagnant society. It will take a radical shift in European nation's attitude toward work, the role of the state, and cynicism before we see real growth (however, the ECB may be successful in its attempts of inflation).
I go into further details on Europe's structural limitations here.
http://macrotalkpodcast.com
As for trades I like the pair trade of going long an emerging EU country such as Poland (EPOL) and shorting two of the weaker peripherals for a net short positions (Italy and France are the weakest in my opinion and the best short targets).
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