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The European Central Bank left the interest rate unchanged at 1% as expected.

EUR/USD remains stable around the 1.2760, still enjoying the previous gains, until Mario Draghi’s press conference, which could send the euro lower. Stay tuned for a live blog of the event.

At 13:30 GMT, Mario Draghi will present the decision, updated forecasts and perhaps new measures for banks. He is widely expected not to introduce any new big measures. Despite these expectations, some hope for a bigger role for the ECB in containing the debt crisis.

So, even if Draghi meets expectations, the euro is vulnerable for a fall. See the ECB Preview for all the details.

Earlier events helped the single currency. Industrial production dropped by only 0.1% while a drop of 0.2% was predicted. More importantly, Spanish and Italian auctions were quite good.

Are investors hoping for a massive intervention by the ECB? They will probably be disappointed…

EUR/USD climbed to 1.2760 following the good auctions. Support is found at 1.2660. Strong resistance is at 1.2873. For more on the euro, see the EUR/USD forecast.

Update: EUR/USD is ticking lower after the decision.