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European Central Bank (ECB) President Mario Draghi (R) sitting next to Vice President Vitor Constancio speaks during the monthly ECB news conference in Frankfurt April 3, 2014. The ECB kept interest rates steady on Thursday despite a fall in inflation to its lowest in more than four years, counting on the euro zone recovery to gain strength unaided.
European Central Bank (ECB) President Mario Draghi (R) sitting next to Vice President Vitor Constancio speaks during the monthly ECB news conference in Frankfurt April 3, 2014. The ECB kept interest rates steady on Thursday despite a fall in inflation to its lowest in more than four years, counting on the euro zone recovery to gain strength unaided.
(Ralph Orlowski/Reuters)

For central banks, talk is cheap

Mario Draghi is proving himself a master of all-talk central banking – which is all the rage these days – by going long on verbiage and short on policy whenever possible and not worrying about tripping over any contradictions.

The European Central Bank president was at the top of his game at his monthly news conference Thursday, vowing to do whatever was necessary to keep the economy afloat and prices stable while finding new excuses for not acting – at least not yet. Hey, it worked once before, when a similar promise in the summer of 2012 to defend the euro at any cost bolstered the beleaguered currency and prompted a recovery in Spanish and Italian bonds.