Slovakia’s ECB rep Sramko says he expects the ECB to make a decision shortly on whether to use non-standard methods of monetary policy, the ECB code word for quantitative ease. The Bank has been setting the stage to do just that via extending maturities on loans to banks rather than buying government debt.
For the ECB to buy government debt would be inherently fraught with political peril since there is no integrated European bond market for the ECB to buy.
EUR/USD just dipped to 1.3480, triggering stops. It is the second day in a row we’ve beottomed between 1.3480/90, it should be noted.
