Analysts at TD Securities note that after three days of meetings, European leaders finally came to a compromise over the big leadership positions and most important for markets, Christine Lagarde, head of the IMF, was nominated as the next president of the ECB.

“Under her leadership, the IMF was regularly advocating for further stimulus to aid the Eurozone recovery, so we would be inclined to believe that she would be willing to continue cutting rates, and even deliver more QE if need be in order to support growth and inflation. And in case of a recession in the Eurozone, her strong political connections at the highest level will be useful in advocating for further fiscal stimulus, given the limits to further monetary easing.”