The euro shot up against all major currencies this afternoon following Mario Draghi's announcement that the European Central Bank is to cut deposit rates to -0.3% and extend its asset purchasing programme.
Speaking at a press conference following the central bank's policy meeting today, Draghi (pictured) said the ECB will cut the interest rate on overnight bank deposits from -0.2% to -0.3%, with effect from 9 December 2015. Many expected a 20 basis point cut to the deposit rate, down to -0.4%. The ECB will also extend the monthly €60bn quantitative easing programme to run until the end of March 2017 or "until the ECB council sees a sustained adjustment in the path of inflation". The euro rose by nearly 2.3% against the dollar to $1.0860 and up 1.5% against sterling, to trade at €1.3871...
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