ECB sources, citing by Bloomberg
- The ECB meeting is tomorrow
- Latest projections show 'extensive' downgrades for inflation and GDP in 2019
- ECB said to debate maturity and interest rate of new loans
- Said to cut inflation projections through 2021
- Said to see return to trend growth toward year end
- The full announcement on new loans may not come Thursday
LTROs and TLTROs have been on the ECB agenda for awhile and officials were waiting to see how the economy did before making an announcement. Needless to say, the economy hasn't been faring too well.
The question for tomorrow is how dovish Draghi will get. A break below 1.1200 would break the 2018 low in the euro.
Here's the report from Bloomberg.
