- The euro (FXE) dives more than 100 pips after the ECB somewhat unexpectedly cuts interest rates. The benchmark refinancing rate is cut 25 basis points to 0.25% and the marginal lending facility 25 basis points to 0.75%.
- The stage had seemingly been set for a rate change with a very slow inflation report last week and then the central bank slashing its growth forecast for the EU this week, but a leak yesterday said there would be no move.
- Down a bit earlier, European stock indices are now ahead by more than 1%. U.S. stock index futures also get a boost, the S&P 500 (SPY) now +0.4%.
- ECB chief Mario Draghi's press conference begins at 8:30 ET.
- European stock ETFs: VGK, FEZ, EPV, IEV, EZU, HEDJ, FEU, UPV, FEP, ADRU, FEEU, DBEU, FIEU.
- Euro ETFs: FXE, EUO, ERO, DRR, EUFX, ULE, URR.
- S&P 500 ETFs: SPY, SH, SSO, SDS, IVV, SPXU, UPRO, VOO, RSP, RWL, EPS, BXUB, TRND, SFLA, BXUC, BXDB.
Euro dives, stocks lift after surprise ECB rate cut
Nov 7 2013, 07:57 ET