This page has been archived and commenting is disabled.

ECB Keeps All Rates Unchanged

Tyler Durden's picture




 

For once, the vast majority of economists was correct, with 62 of 66 predicting accurately what the ECB would do today: nothing. At least so far - moments ago Mario Draghi's central bank just announced no cuts across all three major rates.

From the press release:

At today’s meeting the Governing Council of the ECB decided that 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 0.25%, 0.75% and 0.00% respectively.

 

The President of the ECB will comment on the considerations underlying these decisions at a press conference starting at 2.30 p.m. CET today.

European stocks not happy, and the EURUSD engaging in its usual acrobatics first surging then plunging...

... perhaps because there is still a chance Draghi may announce the end of SMP sterilization in the press conference in 45 minutes, which would free up some liquidity, but hardly have the desired impact.

 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thu, 02/06/2014 - 08:52 | 4407292 edotabin
edotabin's picture

What a Drag-hi! I thought change was good.

Thu, 02/06/2014 - 08:54 | 4407295 GetZeeGold
GetZeeGold's picture

 

 

My heart is racing over here.....who could have seen that coming?

Thu, 02/06/2014 - 08:55 | 4407297 Boris Alatovkrap
Boris Alatovkrap's picture

Same as it ever is...

Thu, 02/06/2014 - 08:59 | 4407313 Ghordius
Ghordius's picture

meh. last time there were some 60 out of 70 economists (including yours truly - though not an economist) predicting no change, and the ECB did some cosmetic slashing down

Thu, 02/06/2014 - 09:00 | 4407322 negative rates
negative rates's picture

Economists, correct, it's unreal.

Thu, 02/06/2014 - 08:56 | 4407307 Boris Alatovkrap
Boris Alatovkrap's picture

<-- Central Bank manipulate EVERYTHING

<-- Central Bank lie about why

Which is greater sin of Central Bank Cabal

Thu, 02/06/2014 - 09:01 | 4407320 y3maxx
y3maxx's picture

...Zero rates....Only way to pave way for Economic Recovery thru Wars.

Thu, 02/06/2014 - 09:02 | 4407321 Ghordius
Ghordius's picture

the greatest sin of fiat fractional reserve banking / central banking is that only few understand it. lots of comments over the last 100 years about this fact

Thu, 02/06/2014 - 09:17 | 4407349 Boris Alatovkrap
Boris Alatovkrap's picture

"It is well for that citizenry of nation are not understand banking and money system, if they are, I believe there would be revolution before Tuesday morning." Henry Ford, founder of Ford Motor Company

Thu, 02/06/2014 - 09:31 | 4407412 The Dunce
The Dunce's picture

No new is good news.  I'm all in on cat food and bullets.  Riding high, baby.

Thu, 02/06/2014 - 08:52 | 4407296 Ghordius
Ghordius's picture

"European stocks not happy". so what. getting the rates further down would have been even sillier than last time

Thu, 02/06/2014 - 09:02 | 4407316 GetZeeGold
GetZeeGold's picture

 

 

so what.

 

So.....let's dance.

http://www.youtube.com/watch?v=cwYJxNnABp4

Thu, 02/06/2014 - 08:54 | 4407300 BandGap
BandGap's picture

Guessed "B".

Really, give it a week and we'll have another scintillating announcement meant to save the EU.

Thu, 02/06/2014 - 09:09 | 4407336 Ghordius
Ghordius's picture

"save the EU"? from what?

Thu, 02/06/2014 - 09:16 | 4407347 johny2
johny2's picture

from the banking oligarchy that it is rulling it through its political parties.

Thu, 02/06/2014 - 09:18 | 4407354 Ghordius
Ghordius's picture

interesting. political parties? do you know that we have - in the eurozone alone - some 100+ political parties? you have to be more specific, here. or perhaps stop projecting

Thu, 02/06/2014 - 09:24 | 4407377 johny2
johny2's picture

the rulling political parties. specific enough?

Thu, 02/06/2014 - 12:35 | 4407978 Ghordius
Ghordius's picture

still not there. in each of the 18 countries of the eurozone? often it's coalitions, so the number is in the ballpark of 25-30

Thu, 02/06/2014 - 08:56 | 4407301 NoDebt
NoDebt's picture

When is Draghi going to get the message and start unsterilized (QE-style) bond purchases?  This guy just won't take a hint.  His handlers grow impatient.

Thu, 02/06/2014 - 09:14 | 4407348 Ghordius
Ghordius's picture

perhaps I've not repeated enough this fact: the FED has a top-down organization on several levels (including the NY-FED)

the ECB has a bottom-up org

18 votes come from the national bank governors. Draghi and the four others are not the ones really setting policy, their job is only to coordinate and communicate

so Draghi's "handlers" are his collegues, like the governor of the Banque of France, and the governor of the BuBa, and the governor of the Bank of Italy, etc.

Thu, 02/06/2014 - 09:58 | 4407501 NoDebt
NoDebt's picture

So you're saying he's just following orders.

Yeah, we have votes in the Fed Board or Governors over here, too.  Bernanke/Yellen don't set policy all by themselves.  Somehow we still arrived where we arrived anyway.

Thu, 02/06/2014 - 12:37 | 4407990 Ghordius
Ghordius's picture

interesting. your way of reasoning seems to imply that there are always "orders from above". no compromise, no politics, no diplomacy, nothing

Thu, 02/06/2014 - 14:09 | 4408334 edotabin
edotabin's picture

diplomacy and compromise do seem to be getting rare-er and rare-er

Thu, 02/06/2014 - 08:56 | 4407308 dwayne elizando
dwayne elizando's picture

Freegold by 2015?

Thu, 02/06/2014 - 08:59 | 4407312 youngman
youngman's picture

But they still get a nice lunch out of it...

Thu, 02/06/2014 - 09:03 | 4407326 negative rates
negative rates's picture

Have breakfast with yourself, have lunch with your friends, and have supper with your enemies.

Thu, 02/06/2014 - 09:02 | 4407315 Peter Pan
Peter Pan's picture

Be on the lookout for Draghi's 50 year plan for Europe.

The first 50 year plan is now being baked for Greece.

I can now see the headlines in 50 years time (if we don't get wiped out before then):

Headline will be, "Plan to be extended by 50 years".

Thu, 02/06/2014 - 09:04 | 4407325 Sudden Debt
Sudden Debt's picture

Gold is up...

silver is up...

SO CLEARLY THEY MADE THE RIGHT DECISION!!

DON'T ARGUE WITH A GOOD THING OR WHEN IT'S GONNA GET YOU LAID!

Thu, 02/06/2014 - 09:09 | 4407333 GetZeeGold
Thu, 02/06/2014 - 09:09 | 4407335 Peter Pan
Peter Pan's picture

I don't want to be a killjoy but why don't you give the boys upstairs a bit of time to prepare for the usual smackdown, 3....2....1.....

 

Thu, 02/06/2014 - 09:16 | 4407350 Sudden Debt
Sudden Debt's picture

Janet likes to sleep in late till noon so that won't happen for at least a few hours.

Thu, 02/06/2014 - 09:17 | 4407351 negative rates
negative rates's picture

Is it time for that happy meal already. I know it's paid for, but the ants in my pants are rather uncomfortable.

Thu, 02/06/2014 - 09:06 | 4407327 Kaiser Sousa
Kaiser Sousa's picture

once again the sociopaths in NY r painting the tape in the phony paper Silver maket at the open trying to push back below $20...

pure coincidence of course....

http://www.kitco.com/charts/livesilver.html

Thu, 02/06/2014 - 09:15 | 4407340 q99x2
q99x2's picture

How bout some financial news.

Thu, 02/06/2014 - 09:17 | 4407344 GetZeeGold
GetZeeGold's picture

 

 

Turn into CNBC.....they'll hook you right up. It'll make more sense if you're drinking heavily.

 

I'm sure they'll appreciate it....they could really use the ratings.

Thu, 02/06/2014 - 09:19 | 4407353 Sudden Debt
Sudden Debt's picture

Slight chance of snow... NEED I SAY MORE?!

Thu, 02/06/2014 - 09:20 | 4407361 negative rates
negative rates's picture

In the north is going to be cold, in the east is going to be dry, in the west it is going to rain, and in the south it is going to be mild. How much more news do you need? If you snooze, you lose??

Thu, 02/06/2014 - 09:11 | 4407341 shankster
shankster's picture

Hee hee, ha ha!

Thu, 02/06/2014 - 10:00 | 4407504 Hubbs
Hubbs's picture

Running out of wiggle room,  Mr Draghi?

Do NOT follow this link or you will be banned from the site!