The main currency pair is energetic and mobile tonight, because of the comments of the ECB.
So, the first really significant news this week has arrived - The European Central Bank left interest rates unchanged at the minimum level of 0.05%, but lowered its deposit rate to -0.30% from -0.20%. Against this backdrop, the euro/dollar pulled up and gained at least 160 points, moving away from the minimum at 1.0524. But this was not the end.
Mario Draghi, head of the ECB, in comments after the meeting said that the incentive program was extended until the end of March 2017. It will include the opportunity to purchase bonds of regional governments - that is, in fact, the expansion of QE, although it is not with calculable character. According to him, these solutions will support the economy of the Eurozone, and it will grow more pronounced.
According to the expectations of experts of the European Central Bank, in 2015, Eurozone GDP growth will be 1.5%, which is higher than the September forecast of 1.4%. In 2016, the economy will add at least 1.7%, in 2017 - 1.9%. Inflation calculated in a harmonized way, in the current year will amount to 0.1% (no revision compared with September data), in 2016 - 1.0% (lower than previous assumptions).
And here the real rally has started, in which the euro has gained about 500 points.
It is possible that the market in general and the emotions will generally subside after a couple of hours. In the end, all of these solutions were expected by the market – and were justified.
So, the first really significant news this week has arrived - The European Central Bank left interest rates unchanged at the minimum level of 0.05%, but lowered its deposit rate to -0.30% from -0.20%. Against this backdrop, the euro/dollar pulled up and gained at least 160 points, moving away from the minimum at 1.0524. But this was not the end.
Mario Draghi, head of the ECB, in comments after the meeting said that the incentive program was extended until the end of March 2017. It will include the opportunity to purchase bonds of regional governments - that is, in fact, the expansion of QE, although it is not with calculable character. According to him, these solutions will support the economy of the Eurozone, and it will grow more pronounced.
According to the expectations of experts of the European Central Bank, in 2015, Eurozone GDP growth will be 1.5%, which is higher than the September forecast of 1.4%. In 2016, the economy will add at least 1.7%, in 2017 - 1.9%. Inflation calculated in a harmonized way, in the current year will amount to 0.1% (no revision compared with September data), in 2016 - 1.0% (lower than previous assumptions).
And here the real rally has started, in which the euro has gained about 500 points.
It is possible that the market in general and the emotions will generally subside after a couple of hours. In the end, all of these solutions were expected by the market – and were justified.
