The Euro was close to a two-year low against the dollar this morning as investors bet that a massive ECB stimulus package is on the way. Last Friday the bank's president Mario Draghi gave the strongest indication yet that the bank is ready to take serious action.

Today, yields on Irish 10-year bonds were at a record low. Spanish, Italian and French yields also fell and stocks gained as the market reacted to the expectation that the ECB will buy sovereign debt. The bank is currently surveying its options as it tries to figure out how to kick-start the Eurozone economy. Draghi's comments have increased pressure on the bank to take action.

Bloomberg is reporting that figures due on November 28th will show that price growth across the continent is still slowing and that they will match the weakest figures since 2009.

The issue of a stimulus package will be discussed when the ECB's Governing Council meet in Frankfurt on December 4th. This could be a significant gathering, a further drop in inflation could provoke serious action, but any surprise indications that the economy is moving the right direction would buy the bank some time.

Before the meeting Mr Draghi will speak in Helsinki on November 27th, giving him a platform to signal his intentions going into the December meeting. Germany, the Netherlands and Austria have been against the introduction of a major stimulus package.

Since Draghi's comments the ECB's Portuguese vice-President Vitor Constancio has commented that the Eurozone is not at risk deflation setting in, and that there is no need to rush into taking drastic-measures. He said that the bank would assess what action it will take in the first quarter of the new year.

It is thought that an announcement in December is unlikely, as more time is needed to finalise a package and to resolve some of the ongoing disagreements between central bankers within the Union.

The ECB has previously indicated it is willing to grow its balance sheet by up to €3 trillion.