Mario Draghi fired a bazooka yesterday morning in launching the ECB’s £60 billion a month EQE (European Quantitative Easing).
The U.S. markets took time to digest the move at the open. But by midday saw it for what it is. The ECB will be depositing £1.2 trillion into the world’s largest banks.
Then it was off to the races as equities — at least for Thursday — soared into positive territory for the year.
Gold joined the rally closing above $1,300 as the euro moved lower against the greenback.
So on its inaugural day EQE worked its magic for the ECB. Time will tell how it works going forward for US stocks and bonds.