European markets to look for cues in Draghi’s speech today

Euro as well as European bond and stock markets will look for cues on further ECB action in today's scheduled speech by European Central Bank (ECB) president Mario Draghi.

After raising the possibility of further ECB action in early October, Mr. Draghi cautioned market last week that further action by the bank is not a guarantee but it's still an open ended one.

Euro however, didn't take much note of it, while European bond market halted their celebration yesterday, reversing some of the previous gains.

Today, on the contrary bond market seems to be relatively confident, that if any hints come out from Mr. Draghi, it will be a dovish one. 10 year Italian yield is down 7 basis points, trading at 1.64%, while Portuguese counterpart is down 7.5 basis points and trading at 2.51%.

Euro is currently trading at 1.097, down close to -0.35% for the day so far.

Stocks on the other hand, not so optimistic. EuroStxx50 is down -0.75% today so far.

However, any hint may not actually come from Mr. Draghi, given it's an opening speech to European cultural days organized by European Central Bank (ECB) at Frankfurt.

The speech is scheduled at 19:30 CET.