"I am who I am (...) we do the best we can," that - more or less - was the rejoinder of European Central Bank (ECB) President Mario Draghi to a reporter's comparison between him and Bundesbank President Jens Weidmann.

The above remarks would seem to clearly reflect the grave situation which the ECB faces as it attempts to curtail a crisis which until quite recently was threatening to tear the single-currency area apart if left unchecked.

That said, all in all Draghi's speech seems to have confirmed previous leaks to the market -bar one possible surprise (the easing of collateral rules)-, although investors may have been wary about giving credence to that speculation.

His plans are quite ambitious, although at first glance at least some details remain to be resolved. Furthermore, it is still up to countries such as Spain to solicit aid.

In more 'technical speak', the central banker explained how the basis of his decision is the need to quash any doubts about the irreversibility of the euro, which had rendered monetary policy in the euro area unworkable and largely ineffective.

Nevertheless, he also emphasized the strong "conditionality" which will be attached to any interventions in bond markets.

Thus, the new modality of interventions are to be known as "outright monetary transactions" and will be concentrated on the short-end of the curve, in debt maturing at between 1 and 3 years' time.

Critically, these purchases will have no set limit, likely so as to dissuade speculators to try and force the central bank to show its hand. For that same reason it is understood that no "fixed" limit for bond yields has been set.

As an aside, but just as important, speaking in Madrid German Chancellor Angela Merkel is said to have reiterated her belief that Draghi is indeed acting within his mandate.

As was also expected, any purchases will be fully "sterilized" so as to avoid the inflationary pressures which excessive growth in the money supply is thought to engender in the long-run, following what is known as the "monetarist" school of economic theory.

Another important factor to be taken into account, as Mr.Draghi pointed out in the Question and Answer session which followed his speech, is that in so far as the purchases are carried out in the secondary market then they will not contravene the bank's prohibition against the monetary financing of state's deficits.

What is not completely clear nonetheless are the differences inherent to the two modalities of conditionality which are now envisaged. These are the so-called full EFSF/ESM macroeconomic adjustment programs and the precautionary programs (Enhanced Conditions Credit Lines).

Lastly, the ECB chief highlighted how he will retain full independence over decisions on when, how, and if to intervene.

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