ECB: Tone of Draghi’s presser to signal QE is less needed – Morgan Stanley
|Analysts at Morgan Stanley are out with their thoughts on what to expect from today’s ECB rate decision, followed by the ECB Chief Draghi’s press conference.
Key Quotes:
“The tone of the upcoming press conference, if not the forward guidance itself, will likely signal that QE is less needed.
Unlike the market, which prices in almost two hikes next year, we only see one small depo rate rise.
We believe that the press conference on March 8 will likely see some small changes to the central bank language, to prepare the markets for the end of QE in 4Q18.
At a minimum, we think that the Q&A will likely emphasize that things are getting better and so, implicitly, that the degree of monetary accommodation can diminish.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.