ECB moving closer to policy action in the face of deflation threat: ""Once again, the European Central Bank will be likely to disappoint the euro bears by not cutting rates in April. However, the threat of deflation and stubbornly high unemployment rate will keep the ECB in an easing mode, which could weigh on the euro, especially if the Fed does not backpaddle and maintains its hawkish stance while the U.S. economic data improves from the weakness seen in the winter months. The EUR/USD exchange rate will probably stay in the $1.33-$1.40 range until the Fed gets closer to ending the QE program in late October, 2014.""
'via Blog this'
