European session review: EUR traded mixed after the announcement of ECB's monetary policy decission

EUR traded mixed against its major counterparts in the European session on Thursday after the ECB announced its monetary policy decision after the January meeting. As it was widely expected, the bank remained its main refinancing rate unchanged at 0.00 percent. Its interest rates on the marginal lending facility and the deposit facility were also left unchanged at 0.25 percent and -0.50 percent, respectively. ECB's policy statement offered little new information as well. The only new point was the announcement of the first strategic review of its policy. The bank promised to reveal further details about the review today at 14:30 GMT.

JPY rose against its major counterparts and CNY fell amid growing fears over the potential spread of the deadly new virus from China during the Lunar New Year period, set to kick off this Saturday. Deaths from this virus rose to 17 on Thursday with nearly 600 confirmed cases. The disease was first discovered in the Chinese city of Wuhan and then spread to several other cities in the country as well as Thailand, Japan, South Korea and even the U.S. During the Lunar New Year holidays, hundreds of millions of Chinese are expected to travel domestically and overseas, heightening the risk of more transmissions. Beijing canceled large-scale New Year celebrations to contain the virus from spreading. 

Elsewhere, AUD strengthened after data indicated an unexpected drop in unemployment to a nine-month low. Australian Bureau of Statistics (ABS) reported the unemployment rate in Australia came in at a seasonally adjusted 5.1% in December. That beat economists' forecasts for 5.2%, which would have been unchanged from the November reading. The Australian economy added 28,900 jobs last month, beating expectations for an advance of 15,000 jobs after gaining 38,500 jobs in the previous month.