The ECB acts despite marginal changes in projections
Published on Friday, December 4, 2015 | Updated on Wednesday, December 9, 2015
The ECB acts despite marginal changes in projections
Summary
The ECB cut the deposit facility rate to a record low of -0.3%, extended the QE programme for six months and strengthened its forward guidance, including reinvestment of principal payments of maturing bonds. The Staff revised its projections only slightly downwards, which hardly justifies today’s decisions. Markets reacted strongly as they expected further measures
Topics
- Topic Tags
- Central Banks
- Financial Markets
Authors
Sonsoles Castillo
BBVA Research - Chief Economist for Financial and Economic Analysis
Agustín García
BBVA Research - Lead Economist
Miguel Jiménez
BBVA Research - Lead Economist
María Martínez
BBVA Research - Principal Economist