DAX pumps and dumps after ECB decision

The EURUSD pair along with the German DAX rocketed higher after the ECB decision, but failed to hold gains and both instruments were quickly sold-off to daily lows.Earlier in the day, the consensus was expecting the ECB to boost its emergency QE PEPP program by 500 billion EUR. 

So perhaps not to risk disappointing markets, moments ago, the Central Bank announced that it would not only expand the PEPP by more than expected 600 billion EUR to 1,350 billion EUR but extended the program to “at least the end of June 2021.” 

Contrary to some expectations, the ECB did not follow the Fed in buying junk bonds (for now).

The euro and stocks surged after the decision, only to be hammered to daily lows shortly after. 

From other news, in the last week, 1.877 million more Americans filed for unemployment benefits for the first time (slightly higher than the 1.83 million expected). That brings the eleven-week total to 42.644 million. It seems that the situation might be stabilizing as claims are now below 2 million.