View: ECB Fed Balance sheet ratio June.jpg (736×483)

An astonishing insight from ZeroHedge - "this latest shift in the relative size of the two critical CB balance sheets also means something else: that the fair value of the EURUSD implied purely on balance sheet correlation, a relationship that historically worked perfectly, yet in recent months has broken down due to the market's conviction that more QE is coming any minute now, is now just above 1.16, or just shy of 900 pips lower from here."