Eyes on European Central Bank (ECB)’s communication’s conference - UOB
Analysts at UOB Group explained that the European Central Bank (ECB)’s communication’s conference in Frankfurt on this week will see key global central bankers converging with a scheduled panel discussion by FOMC Chair Janet Yellen, ECB President Mario Draghi, BoJ Governor Haruhiko Kuroda and BoE Governor Mark Carney.
"Over the past week, market seemed to have a slight change in expectations of the expectations of “dovish taper” by the European Central Bank (ECB).
This followed comments from various ECB officials that seem to dial back on the dovish expectations.
ECB board member Sabine Lautenschlaeger said that ECB should set a clear end date for its asset purchase programme.
ECB Governing Council member Philip Lane said that ECB could tighten monetary policy more decisively once Eurozone inflation is on a clear path towards its longer term target.
While ECB governing council member Ewald Nowotny said that ECB should have signaled a clear end to its bond buys in the last meeting.
At the last ECB monetary policy meeting at the end of October, the ECB cut by half its monthy asset purchase amount from EUR 60 bn to EUR 30 bn, but stopped short of signaling a clear end to its asset purchase programme."