The market’s initial response to the just-released ECB policy statement was that the central bank was not dovish enough and so the euro spiked higher and the DAX lower. Here are the key points from the statement ahead of Mario Draghi’s press conference, which starts shortly:
This is how the EUR/USD reacted…
Source: TradingView and FOREX.com.
Other euro crosses also responded positively to the ECB rate statement….
The focus will be on the ECB president now and he will do his best to keep the euro under pressure and prevent an even sharper rally.