The ADP employment report came in well this morning, all things considered.
But it was all about Mario Draghi and the ECB, and their pledge to buy short term sovereign bonds in a purportedly unlimited manner. Since the purchases will be done in the secondary market, and will be sterilized, there is thinking that the German court will find no objections when they meet on September 12.
No matter in what brand of paper you might wrap this fish, it still smells of monetization. And it is primarily designed to benefit the big banks, and not the ordinary European. So it will most likely fail without meaningful systemic reform.
This is just Bernanke, Italian style.
Non-Farm Payrolls tomorrow.
