ECB policy remains unchanged

Note: This section contains information in English only.
Source: Dukascopy Bank SA
On April 22, the European Central Bank published its Monetary Policy Statement. In general, the event caused no initial reaction in the market. It occurred due to the rate keeping their policy unchanged. In addition, it was no surprise due to the fact that the ECB recently increased their monetary stimulus policy.

Quoting the reports key points: "The interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 0.00%, 0.25% and -0.50% respectively.

The Governing Council will continue to conduct net asset purchases under the pandemic emergency purchase programme (PEPP) with a total envelope of €1,850 billion until at least the end of March 2022 and, in any case, until it judges that the coronavirus crisis phase is over.

Net purchases under the asset purchase programme (APP) will continue at a monthly pace of €20 billion.

The Governing Council also intends to continue reinvesting, in full, the principal payments from maturing securities purchased under the APP for an extended period of time past the date when it starts raising the key ECB interest rates, and in any case for as long as necessary to maintain favourable liquidity conditions and an ample degree of monetary accommodation.

Finally, the Governing Council will continue to provide ample liquidity through its refinancing operations. In particular, the latest operation in the third series of targeted longer-term refinancing operations (TLTRO III) has registered a high take-up of funds. The funding obtained through TLTRO III plays a crucial role in supporting bank lending to firms and households. "

Full Official Release: Monetary Policy Decisions

 In the immediate aftermath after the statement, the EUR/USD made a minor bounce of five pips to the upside. Note that it is normal for a five minute candle to be up to ten pips wide.

Initial Reaction

Larger scale situation

Back to articles

Actual Topics

Thu, 22 Apr 2021 17:26:31 GMT

26.04.-30.04. Event Historical Reactions

In total, during the week, seven data sets at six various times are suggested to be watched by Dukascopy Analytics. Among them, the top one is expected to be the US Federal Reserve's Foreign Open Market Committee's Statement. The week's events are set to start on Wednesday. At 12:30 GMT the Canadian Retail Sales and Core Retail Sales are expected to

Wed, 21 Apr 2021 15:32:34 GMT

BoC causes 150 pip move

On April 21, the Bank of Canada made a rate statement, which created a long unseen move. During the first half an hour after the statement, the USD/CAD had already dropped by almost 150 pips due to the strengthening of the Canadian Dollar. The move occurred due to the bank announcing that it expects inflation to return to the

Subscribe to "Fundamental Analysis" feed

Suscribir
Para conocer más sobre la plataforma de Trading de CFD y Forex de Dukascopy Bank, SWFX y otras informaciones relacionadas con el Trading,
llámenos o haga una solicitud de devolución de llamada.
Para obtener más información sobre la posible cooperación, por favor llámenos o haga una solicitud de devolución de llamada.
Para obtener más información sobre las opciones binarias de Dukascopy Bank / La plataforma de operaciones de Forex, SWFX y otra información relacionada con el Trading, por favor llámenos o solicite una devolución de llamada.
Para conocer más sobre la plataforma de Trading de CFD y Forex de Dukascopy Bank, SWFX y otras informaciones relacionadas con el Trading,
llámenos o haga una solicitud de devolución de llamada.
Para obtener más información acerca de la plataforma de operaciones Crypto Trading / CFD / Forex, SWFX y otra información relacionada con el comercio,
llámenos o realice una solicitud de devolución de llamada.
Para obtener más información sobre Business Introducer y otra información relacionada con el comercio,
llámenos o realice una solicitud de devolución de llamada.
Para obtener más información sobre la posible cooperación, por favor llámenos o haga una solicitud de devolución de llamada.