The ECB has published fresh statistics on the change in assets on its balance sheet. Over the past week the figure rose by €15.1 billion, against an increase of €16.2 billion a week earlier. The ECB, as promised last week, is starting to steadily reduce the rate of asset purchases, which is positive for the euro.

On the other hand, we are seeing a decline in gold quotes, which is negative for the euro, inasmuch as assets are historically correlated with each other. Investors sell the yellow metal and increase the share of high-yield assets in their investment portfolios. Gold has been historically perceived by traders as a defensive asset, and insofar as there is no stress in the financial system now, there is no need for defensive assets.

Trading recommendation: flat 1.1770 – 1.1860.