Draghi left the ball on local governments

Today was the monthly meeting of the Europen Central Bank (ECB) when a decision is made on the interest rates and the monetary policy. No one expected a change in the interest rates or the monetary policy, so everyone´s attention was on the ECB president Mario Draghi press conference. As expected the interest rates were left unchanged at 0% and the deposit rates remained the same as well at -0.40%. The monetary policy remained the same as well with the QE programme continuing at least until March next year.

So, the heads turned to Draghi and his press conference which just finished. He confirmed the continuation of the QE programme and he said that the Brexit vote forecasts showed it wouldn´t have an impact on the inflation in the Eurozone. EUR/USD jumped about 50 pips when Draghi said that the national governments must take responsibility and not leave everything to the ECB, but those gains have been erased now.