The ECB edged closer to ZIRP today, dropping the refi rate to 0.25%. This is surprising, but then, who cares about the difference at this point? It underlines that the ECB is figuring out the eurozone economy is a mess, but that's been priced into markets for a long time.
The only issue I see is that this increases the debate about unconventional policy measures in the eurozone. Since I am skeptical that the unconventional policy measures contemplated by central banks have any impact on the economy, it just ends up being a distraction.
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