Reuters - Video

EDITION: U.S. | U.K. | IN

Business

ECB to monitor euro strength

Thursday, Feb 07, 2013 - 02:11

Feb. 7 - The European Central Bank will monitor the impact of a strengthening euro on the currency bloc's economy but said it was not a policy target and showed growing confidence in the region. Sonia Legg reports

▲ Hide Transcript

View Transcript

He was there to talk interest rates but the ECB President was also under the spotlight over a trading scandal at the world's oldest bank. Mario Draghi was in charge of the Bank of Italy when a series of illegal derivatives trades allegedly took place at Monte dei Paschi bank. (SOUNDBITE) (English) PRESIDENT OF THE EUROPEAN CENTRAL BANK, MARIO DRAGHI, SAYING: "The Bank of Italy has done everything it should and appropriately and in time. But if you doubt about that you also have the IMF team who was in Italy for a financial sector assessment so within that context, the IMF has publicly stated that their preliminary view is that the Bank of Italy took timely and appropriate action, within the limits of legal framework to address problems at MPS's." Draghi also side-stepped questions about Ireland which has struck a long-awaited deal to ease its debt burdens After keeping interest rates at 0.75 percent he said the strengthening euro was his focus - although not one which required action. (SOUNDBITE) (English) PRESIDENT OF THE EUROPEAN CENTRAL BANK, MARIO DRAGHI, SAYING: "The appreciations is, in a sense a sign of the internal confidence in the euro. The exchange rate is not a policy target, but its important for growth and price stability and we certainly want to see whether the appreciation, if sustained, will alter our risk assessment as far as price stability is concerned." The euro fell broadly after the announcement but Westpac's James Shugg wasn't surprised by Draghi's stance. (SOUNDBITE) (English): JAMES SHUGG, WESTPAC, SAYING: "The European Central Bank's balance sheet has been shrinking as it has been paying back their LTROs whereas the Fed's is ballooning out as is the Bank of Japan's - there's good economic fundamental sense behind the economic appreciation of the euro on that basis alone." As for the state of the euro zone's economy as a whole it was a case of deja vu. Just like last month, Draghi said economic weakness would prevail for the early part of the year but activity should gradually recover.

ECB to monitor euro strength

Thursday, Feb 07, 2013 - 02:11

Top News »

Money »

Finding meaning in the S&P 500 2000 mark Finding meaning in the S&P 500 2000 mark

Mon, Aug 25, 2014 - (2:35)

S&P falls back from record high S&P falls back from record high

Fri, Aug 22, 2014 - (1:35)

S&P 500 closes at new high S&P 500 closes at new high

Thu, Aug 21, 2014 - (1:24)

S&P 500 just shy of record S&P 500 just shy of record

Wed, Aug 20, 2014 - (2:23)

Apple hits $100 a share Apple hits $100 a share

Tue, Aug 19, 2014 - (2:06)

Nasdaq closes at 14-year high Nasdaq closes at 14-year high

Mon, Aug 18, 2014 - (2:23)

Putin puts Wall Street in buying mood Putin puts Wall Street in buying mood

Thu, Aug 14, 2014 - (2:10)

We've become a promotional culture-RetailMeNot's Bodge We've become a promotional...

Thu, Aug 14, 2014 - (4:39)

Dow back to positive territory for year Dow back to positive territory for year

Wed, Aug 13, 2014 - (2:18)

The Exchange »

The Exchange: Hot commodity The Exchange: Hot commodity

Wed, Jul 16, 2014 - (9:25)

The Exchange: Constitutional crusade The Exchange: Constitutional crusade

Wed, Jun 25, 2014 - (11:35)

The Exchange: The value of money The Exchange: The value of money

Mon, Jun 02, 2014 - (9:53)

The Exchange: China’s Second Continent The Exchange: China’s Second Continent

Tue, May 27, 2014 - (9:35)

The Exchange: A master of business arts The Exchange: A master of business arts

Thu, May 08, 2014 - (8:24)

The Exchange: America's bankrupt cities The Exchange: America's bankrupt cities

Mon, May 05, 2014 - (8:52)

The Exchange: Let the rocking commence The Exchange: Let the rocking commence

Tue, Apr 08, 2014 - (8:13)

The Exchange: The Moneyball fallacies The Exchange: The Moneyball fallacies

Mon, Mar 24, 2014 - (9:54)

Is doing good a good business? Is doing good a good business?

Mon, Mar 17, 2014 - (7:38)

Reuters Investigates »

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, Feb 19, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, Jan 10, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, Aug 29, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, Aug 29, 2013 - (13:21)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, Aug 05, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, Dec 17, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sat, Dec 08, 2012 - (10:01)

Jihad Jane: The order to kill - Reuters Investigates Jihad Jane: The order to kill - Reuters...

Sun, Dec 09, 2012 - (10:39)

Moving Pictures »

Mending dolls, teddies and hearts Mending dolls, teddies and hearts

Fri, Aug 22, 2014 - (3:12)

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, Aug 11, 2014 - (2:27)

Burned memories Burned memories

Fri, Aug 08, 2014 - (3:02)

Images of July Images of July

Thu, Jul 31, 2014 - (1:20)

World Cup: passion on the pitch World Cup: passion on the pitch

Fri, Jul 11, 2014 - (1:00)

A refugee in America gives back A refugee in America gives back

Wed, Jul 02, 2014 - (3:25)

A long search for refuge A long search for refuge

Fri, Jun 20, 2014 - (3:04)

World Cup: Around the globe in 50 goals World Cup: Around the globe in 50 goals

Fri, Jun 06, 2014 - (1:08)

VIVID – Sydney’s spectacle of light VIVID – Sydney’s spectacle of light

Fri, May 30, 2014 - (1:37)