Renewed confidence in the euro zone: What consequences?

The ECB's interventions and then the implementation of the European Union's recovery plan have definitely increased investor confidence in the euro zone. We should therefore see: A lasting tightening of peripheral countries' yield spreads; More capital flowing into the euro zone and less capital flowing out of the zone, and therefore an appreciation of the euro and a rise in European share prices; This trend being eventually reinforced by the fact that investors will substitute EU debt for US Treasury debt; An increase in the euro's weight in foreign exchange reserves, given the increased confidence in the euro zone's stability and the strong international demand for EU debt.