The Euro is “processing” Draghi’s comments. Overview for 06.04.2017

The EUR/USD is falling on Thursday afternoon after Mario Draghi’s press conference.

On Thursday afternoon, the EUR/USD pair is retreating as the market is analyzing the comments “super Mario” Draghi mad during today’s press conference. The current quote for the instrument is 1.0660.

Draghi was very straight. He said that despite pretty quick recovery of the Eurozone’s economy, which can be easily seen, there were quite a lot of risks, and more of them were negative. So, the words about these lurking issues upset the Euro investors.

According to the opinion of the President of the European Central Bank, the inflation situation still claims deliberate attention, and there are hardly any signs of the Core CPI growth in macroeconomic indicators. The growth of the inflation, which is shown by the statistics, is based on the QE program, that’s why it’s too early to talk about success.

He also talked about targets for the rates. The ECB is still holding to an opinion that the negative interest rate produces a good effect in the form of the banks’ own funds operation. It’s thought that the regulator doesn’t intend to reject this fiscal tool.

In general, Draghi talked about the same thing that were hanging thick in the air: the Eurozone’s economy is not independent and the growth that can be seen is based on the QE. So, the claims about possible closing of the program in the nearest future are not backed up by anything.

RoboForex Analytical Department