OctaFX | OctaFX Forex Broker
Open trading account
Back

ECB not expected to announce additional measures - Nomura

FXStreet (Bali) - Nick Matthews, Economist at Nomura, is not expecting the ECB to announce any additional measures at its meeting on Thursday.

Key Quotes

"We do not expect the ECB to announce any additional measures at its meeting in Naples. Nonetheless, we expect the Governing Council to maintain a clear bias towards further action, if necessary. This will be via an expression of the intent to use additional unconventional instruments and alter the size and/or composition of its unconventional interventions should it become necessary to further address risks of a too prolonged period of low inflation."

"Away from asset purchases, we expect the ECB to remain concerned with the loss of momentum in the business cycle and to see clear downside risks to the economic outlook. Overall, we expect Mr Draghi to keep the threat level of further action as elevated as possible, in order to try and maintain pressure on the exchange rate and keep inflation expectations – which remain under pressure - in check."

"We continue to judge the probability of a broad-based asset purchase programme (QE) at 40% this year and 45% by March next year, while risks around these probabilities remain skewed to the upside."

USD/CAD falls after 4-day rally

The Canadian dollar reached a 6-month low against Greenback during the Asian session but then managed to erased losses and finished the day higher, after falling during the previous four trading days.
Read more Previous

Session Recap: Markets, here is October; but tomorrow Draghi is coming

October is a dangerous month and it arrived with a bunch of bad news. Mark Twain once said: "October. This is one of the peculiarly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August, and February."
Read more Next
Start livechat