Ewald Nowotny is speaking to Bloomberg

  • Low oil price means incomes have improved
  • Core inflation rates have been rather stable
  • ECB is clearly below its 2% inflation goal
  • Monetary policy should not be overburdened
  • Any QE expansion will need more thorough examination
  • No need to act in the short term
  • Emerging Europe is in good shape says

Less dovish talk on QE from Nowotny see the euro jump a few pips

  • ECB must have a steady hand policy
  • Prolongation of QE may have a signalling effect
  • There is room to buy more of the same under QE
  • ECB could expand into other assets
  • Results of ABS are disappointing
  • Would welcome additional supply of more ABS

Back to dovish

  • His preference is to be more cautious on QE

Less dovish

  • Shouldn't overestimate effect of Fed and PBOC on ECB