Mario Draghi’ speech
The ECB President made a surprise statement yesterday at the opening of the European Central Bank forum. He hinted that a further rate cut was possible which had the direct effect of dropping the Euro and boosting the stock market.
In just a few minutes, the EURUSD price has risen from 1.1243 to 1.1182 and is now stabilizing around 1.12. This statement also had an effect on yields in the euro area which have fallen to a historic level especially for 10-year yields. It has also had an effect on the stock markets, which have gone up significantly.
Trump did not appreciate the speech and its effects at all. He made it directly known on Twitter:
« Mario Draghi just announced more stimulus could come, which immediately dropped the Euro against the Dollar, making it unfairly easier for them to compete against the USA. They have been getting away with this for years, along with China and others.”