The Euro is considering the ECB’s decisions. Overview for 13.03.2020
On Friday, the major currency pair is recovering after the March meeting of the European regulator and its decision to expand QE.
EURUSD is recovering on Friday morning after plunging the day before. The current quote for the instrument is 1.1206.
During its March meeting, the European Central Bank kept its benchmark rate unchanged at 0%, just as expected. The deposit rate and the marginal lending rate also remained intact at -0.50% and 0.25% respectively.
At the same time, the ECB decided to expand the QE program by €120B until the end of 2020. Earlier, the monthly volume of the program that started in November of 2019 was €20B. In addition to that, the regulator announced TLTRO III for refinancing the first LTRO.
Moreover, the ECB will relax the capital rules on banks.
Stimulus measures look quite adequate and suitable for the current market environment, and which is more important – right now, it’s very good timing for them.
Thereby, not it’s the time for the US Federal Reserve to make a call: market players are very interested in whether the American regulator cuts the rate for the second time this month during its March meeting next week.