ECB source mulls equity buys

Buried in a Reuters story about the ECB, a source says the central bank could consider buying corporate debt or equities.

The wording is a bit ambiguous and isn't directly attributed to the source but it certainly appears the comments are coming from an insider.

"Although increased asset buys could further squeeze liquidity in the market, one source with direct knowledge said concerns over market supplies were overdone as the ECB could move into new instruments and had plenty of room to manoeuvre even with government bonds.

The ECB could consider corporate debt or equities while there was also room to buy more supranational instruments. Sovereign debt was plentiful due to high net issuance and the ECB could always release debt to be held until maturity, the source said."