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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: ahhaha who wrote (19375)	9/6/2011 10:48:52 AM
From: Elsewhere	Read Replies (1) \| Respond to of 24758

What must ECB exchange? I can only guess. There is the point what the ECB should and what it will exchange. Ideally it should exchange only equivalent items. What it will exchange is probably the weekly deposits for euros. Looking at the complete sequence weak bonds are exchanged for euros. The weak bonds end up on the ECB balance sheet. Probably they aren't marked to market (yet). I know too little about a CB setup to say what happens once they are written off but it "ain't good". Either the ECB will have to "print new money" or member states will have to replenish the gap.