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What Thursday's European Central Bank Meeting Means for Investors

Stocks in this article: SPY

Draghi has seen the liquidity provided by the Fed's quantitative easing go into and remain within the financial sector of the economy, with very little spilling into the production sector.

In addition, Draghi has become more vocal about the role that the governments of the individual countries can do to reform their economies. Japanese stagnation may be an example of what must occur before a country can really be competitive within the global economy again.

Matteo Renzi, the prime minister of Italy, is intent on trying to bring the Italian economy into the 21st century. The upheaval within Hollande's government in France is seen as another possible opportunity for European restructuring.

With these governmental changes, there is continued recognition that the eurozone needs to form into more of a political union if the euro-currency region is to be fully successful.

But reforming government and economies takes time, something that the eurozone does not seem to have now.

All the pressure seems to fall back onto Draghi and the ECB.

But maybe Draghi might not move to a quantitative easing program, in which the central bank acquires the sovereign debt of member nations. One suggestion is for the ECB to purchase asset-backed securities -- bundles of repackaged loans.

The ECB does not have a detailed program in place to present at this time. But the ECB could announce it is going to purchase ABS in the future and will provide the details later.

Read More: How the American Air Merger Helped Charlotte, Philly and Fort Wayne

A lot of mystery surrounds the meeting coming up on Thursday.

The financial markets seem to believe that the ECB will do something, and that something will be expansionary.

At 11:00 am in the U.S., the value of the euro dropped to about $1.320, the lowest it has been recently. Betting seems to be on the some form of ECB loosening.

At the time of publication, the author held no positions in any of the stocks mentioned.

This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.

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