Forex Flash: ECB to buy asset-backed securities for support? – Deutsche Bank

FXstreet.com (Barcelona) - The ECB's Asmussen noted yesterday that the central bank has discussed buying asset-backed securities (ABS) to support lending to SME firms. He said that policy makers have an open mind to look at all things within their mandate but warned that while the ECB is looking at all possible options to rekindle the ABS market policy makers are far from reaching any conclusion.

In terms of today, the final BoE meeting under the governorship of Mervyn King will be the main event in the UK. According to Macro Strategy Analysts J. Reid and C. Tan at Deutsche Bank, “The market is not expecting any changes to rates and its QE program in part due to the recent better-than-expected UK data-flow.”