The euro spent the whole of the European and North American sessions Thursday grinding gradually lower from nearly USD1.18 down to around 1.1760 but then took off in Asia to add nearly half a cent to an overnight high around 1.1820. It subsequently slipped back to a low just below 1.1780 and opens in North America pretty much in the middle of this range. Mario Draghi, President of the ECB, gave a speech this morning at the Frankfurt European Banking Congress. He noted, “The euro area is in the midst of a solid economic expansion. GDP has risen for 18 straight quarters, with the latest data and surveys pointing to unabated growth momentum in the period ahead. From the ECB’s perspective, we have increasing confidence that the recovery is robust and that this momentum will continue going forward”. Despite his bullishness on the Eurozone economy, Mr Draghi warned that, “from a monetary policy perspective our task is not complete, as we have not yet seen a sustained adjustment in the path of inflation… we are not yet at a point where the recovery of inflation can be self-sustained without our accommodative policy”. We wonder if ECB members have permanent drivers to chauffer them around and never have to fill up their own cars with gasoline. If they did, they’d notice there’s been nearly a 5% jump in prices at the pump. And, when prices rise, so does inflation! If anything, the army of highly qualified economists and statisticians at the ECB might be understating near-term CPI. The euro ends the week in much better shape than it began against both the USD and CAD. EUR/USD is up from 1.1650 to 1.1800 whilst EUR/CAD is up has jumped from 1.4800 to open this morning at 1.5034.