At midday, Reuters reports EU and global stocks edging up in anticipation of an upcoming ECB Meeting. [live update]
A live press conference is underway as of this update: Mario Draghi, President of the ECB, is speaking now.
This morning Euro based stocks crept higher on a bit of investor confidence in the outcome of the European Central Bank’s policy meetup later today. According to the Reuters report, European earnings reports, the two-day EU summit, and comparatives in exchange rates somehow play a role in the relative optimism. Accordingly, the euro edged up 0.3 percent to $1.3570.
A lot obviously hinges on ECB president Draghi’s 1330 GMT news conference, where interest rates and other key bank variables are expected to be a bit of “non-news”, only the coming reporting well tell.
Clearly the mood in all markets is guarded, and for good reason. Spain’s prime minister Mariano Rajoy’s corruption allegations, the Irish situation, unrest in the Tunisia and elsewhere impact on oil prices, a multitude of negative factors weigh against what many experts would classify as “hope” that the ECB situation might improve. Fiscal woes from Cyprus to Dublin and back would seem to point to basically nothing being decided today.
Other news agencies already suggest the ECB will postpone any decision on the liquidation of the IBRC, or Anglo Irish Bank. The legislation is for many experts and governmental officials, a do or die situation. The legislation is much needed in order to protect taxpayers and other entities involved. There is as much as €14 billion in public assets at risk failing some decision.
We will keep you updated here, following the ECB news in about two hours at 2:30 CET.