The market's negative reaction to today's press conference is entirely justified.

The collective denial on the euro zone economic recovery is belatedly challenged as markets and forecasters finally wake up to reality.

The euro remains competitive, well below levels witnessed at the start of European monetary union when there was little complaint from manufacturers,

For the ECB to be hiking rates, they needed to see some clear signs of growth. And they are getting it now in abundance.

In terms of fiscal policy very little is expected from the budget.

The consensus PMI forecast was for a small decline and that's what we got, so it was a neutral outcome in the end,

The U.S.-Europe story is getting played out and is fully discounted in the euro and bond markets.

That is a recipe for market volatility, and I think it will increase rather than grow less in the months ahead.

The obvious focus for the market will be the core PPI, and given what we've seen for consumer prices, we should see a relatively modest increase there,

It's the lowest level of growth for almost a decade and the government had indicated it was expecting something in the region of 3 percent,