ECB statement now published too 8 June
- keeps asset purchase programme at €60bln pm
- will run QE until inflation path has sustainably adjusted
- stands ready to increase size duration of QE if needed
- net purchases will be made alongside reinvestments
EURUSD spiked to 1.1260 then dipped to 1.1221 on the rate hold news but found some support on the headline here as it omits guidance on rate cut.
No major changes though in essence so let's see what Draghi has to say about it all.
Full statement:
At today's meeting, which was held in Tallinn, the Governing Council of the ECB decided that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 0.00%, 0.25% and -0.40% respectively. The Governing Council expects the key ECB interest rates to remain at their present levels for an extended period of time, and well past the horizon of the net asset purchases.
Regarding non-standard monetary policy measures, the Governing Council confirms that the net asset purchases, at the current monthly pace of €60 billion, are intended to run until the end of December 2017, or beyond, if necessary, and in any case until the Governing Council sees a sustained adjustment in the path of inflation consistent with its inflation aim.
The net purchases will be made alongside reinvestments of the principal payments from maturing securities purchased under the asset purchase programme. If the outlook becomes less favourable, or if financial conditions become inconsistent with further progress towards a sustained adjustment in the path of inflation, the Governing Council stands ready to increase the programme in terms of size and/or duration.
The President of the ECB will comment on the considerations underlying these decisions at a press conference starting at 14:30 CET today.
Watch the presser live here.
Any rabbits out of Mr D's delivery today?
