CurrencyShares Euro Trust (NYSEArca: FXE) opened flat Thursday after the European Central Bank said it would stand pat on interest rates.
The currency ETF was little changed after the ECB surprised investors who were looking for a rate cut to bolster the region’s struggling economy.
Markets will also be focused on the press conference with ECB President Mario Draghi following reports the central bank plans to buy bonds to support troubled European debt markets.
Draghi has said he will do whatever it takes to save the euro.
“Draghi has put his credibility squarely on the line,” said Julian Callow, chief European economist at Barclay, in a Bloomberg News report. “He has made it his business to save the euro, so he is going to be called on that.”
The euro ETF could be volatile as traders react to Draghi’s comments and look ahead to some key events later this month. German courts will rule on the legality of the European bailout fund and Dutch elections will also take place. [ECB Bond-Buying Hopes Lift Europe ETFs]
The euro currency ETF is up about 2% the past month.
CurrencyShares Euro Trust
