ECB ‘fully prepared’ to up bond purchases in June: accounts

Economy
© Reuters. FILE PHOTO: European Central Bank (ECB) news conference in Frankfurt © Reuters. FILE PHOTO: European Central Bank (ECB) news conference in Frankfurt

FRANKFURT (Reuters) – The European Central Bank is ready to expand its Pandemic Emergency Purchase Scheme as early as June, if economic data warrant such a move, policymakers concluded in their April 30 meeting, the accounts of discussion showed on Friday.

“It (the Governing Council) was fully prepared to increase the size of the PEPP and adjust its composition, and potentially its other instruments, if, in the light of information that became available before its June meeting, it judged that the scale of the stimulus was falling short of what was needed,” the ECB said.

Policymakers agreed at the April meeting to provide loans at even more favourable terms but held back on big moves such as extending or expanding asset purchases, disappointing some market players.

The ECB will next meet on June 4 and many expect it to increase asses buys by as much as 500 billion euros ($ 545.15 billion) this year as the euro zone economy shrinks by around a tenth this year.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Let’s block ads! (Why?)

Economy News

Leave a Reply

Your email address will not be published. Required fields are marked *