As I suggested in “headlines” we were due to get a move by the ECB especially on the back of China’s move. This isn’t quite that, but similar idea.
More people just bought stocks than know what a central bank swap line is. More people are fading the rally than know what a central bank swap line is (I’m in the latter camp).
As far as I can tell, all this does is let the ECB help European banks borrow in dollars more cheaply and easily than they already do. Since on a scale of 1-10 with 10 being the ECB providing the most support possible at cheapest level, and we are already at a 12. I’m not sure that moving that this has much impact at the margin, other than confirmation that the central banks are talking (which is good) but don’t have any new tools to add (which isn’t so good).