Yves Mersch now speaking

  • Leaks from ECB committees led to inflated expectations
  • Fed hike may cause short term volatility
  • ECB can always add more is the sky falls in
  • ECB to maintains stance using all means possible
  • Two-tier deposit rate had no chance of approval
  • Reinvesting QE could inject €320bn over two years
  • Municipal debt market is worth up to €380bn
  • Governing council majority agrees that more action is not needed to reach inflation goal

Nowotny blamed the analysts for overblown expectations while Mersch blames leaks. I think we know what group don't know their arse from their elbow ;-)