The European Central Bank cut its key interest rate and launched a sweeping package of bond purchases. It is the ECB’s largest dose of monetary stimulus in 3½ years and a bold finale for departing President Mario Draghi, who looks to be committing his successor to negative interest rates and an open-ended bond-buying program, possibly for years, Tom Fairless reports. The ECB’s pre-emptive move was aimed at insulating the eurozone’s wobbling economy from a global slowdown and trade tensions. But it triggered opposition from a handful of ECB officials and an immediate response from President Trump.

A quick application of interest parity will yield some insights on the effects on the value of the US dollar.

While Trump loves what the ECB is doing, it should be noted that the Eurozone is at the brink of a recession with contracting output, while the US is at the pinnacle of its expansion.