Most economists expected the ECB not to change the interest rate at this meeting, but rather wait. Another cut seemed to be imminent, and some saw a cut coming already now.
EUR/USD traded just under 1.3060 before the publication. It is now 10 pips higher. All eyes are on the press conference with Mario Draghi, where he is expected to provide hints for the next moves by the bank.
Update: Draghi exposed a discussion about a rate cut and sent EUR/USD tumbling down.
Draghi is also expected to lay out lower forecasts for euro-zone growth and inflation. The euro recently ran out of steam.
Earlier, Germany reported a strong rise in factory orders, while the euro-zone recession was confirmed with the final GDP release. Also the Bank of England left the rate and the QE program unchanged.
For more on the single currency, see the EURUSD forecast.
