20 Jan 2015
ECB to pre announce soverign QE? - Rabobank
FXStreet (Guatemala) - Analysts at Rabobank explained that it is their base case that the ECB rate setting meeting on Thursday will see, at a minimum, some form of pre-announcement on the start of sovereign based ECB QE.
Key Quotes:
"This would be followed by full details being announced at the following meeting (on 5 March), with purchases to begin immediately afterwards."
"However, the number of leaks about the details of the ECB Governing Council discussions on the potential structure of purchases has been ramping up and six weeks would be a long time for the market to have to wait for the program to begin."
"Therefore, it cannot be ruled out that a full announcement will be made at the January meeting. Counting against this, though, is that the variety of options being discussed by the GC suggests they still have a few tough issues to overcome."
Key Quotes:
"This would be followed by full details being announced at the following meeting (on 5 March), with purchases to begin immediately afterwards."
"However, the number of leaks about the details of the ECB Governing Council discussions on the potential structure of purchases has been ramping up and six weeks would be a long time for the market to have to wait for the program to begin."
"Therefore, it cannot be ruled out that a full announcement will be made at the January meeting. Counting against this, though, is that the variety of options being discussed by the GC suggests they still have a few tough issues to overcome."