Forex Dictionary

ECB Press Conference

ECB Press Conference

Speaker ECB President Jean-Claude Trichet and Vice President Lucas Papademos; Usual Effect More hawkish than expected = Good for currency; Frequency Monthly, about 45 minutes after the rate release; FF Notes There are two parts to the press conference: first Trichet reads a prepared statement (a text version is made public at the start), then the conference is open to press questions. Since the questions are not known beforehand they can make for some unscripted moments that lead to heavy market volatility; Why Traders Care It's the primary method the ECB uses to communicate with investors. It covers in detail the factors that affected the most recent interest rate decision, the overall economic outlook, inflation, and most importantly, clues regarding future monetary policy;