Mario Draghi backs down

What happened?

He also extended the ECB's QE programme by six months, so that it will end in March 2017, rather than September 2016 (though it could continue beyond then). And he announced that the ECB would consider broadening the type of assets that it buys, to include local and regional government debt, rather than simply national bonds.

How have the markets reacted?

The euro quickly increased in value, while expected bond yields on eurozone government debt have increased.

So, why did Draghi back down?

Draghi pointed to "subdued growth prospects in emerging markets and moderate global trade, the necessary balance sheet adjustments in a number of sectors and the sluggish pace of implementation of structural reforms".

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Is the ECB split on QE?

Last month, Sabine Lautenschlaeger, a member of the ECB's executive board stated that she saw "no need for further monetary-policy measures, especially not for an expansion of the asset-purchase program". Instead, she argued that, "We should give the numerous and, all-in-all formidable, monetary-policy efforts time to show their full effects".

Estonia's Central Bank governor Ardo Hansson also stated in October that "we should be patient and give these policies a bit more time to have an effect".