The European Central Bank won’t make a hasty decision to add more stimulus and will hinge any measures on incoming economic data, Executive Board member Benoit Coeure said.
“We’ll have to understand how what we’ve already decided works — we’re not going to rush to a new decision without knowing,” Coeure said yesterday in an interview with Bloomberg Television’s Francine Lacqua. “We have to look at the data around us, and we have to discuss thoroughly all possible options in particular when it comes to buying new assets. There’s unanimous agreement in the Governing Council that there might be situations where we’d have to do more.”
Speculation that officials might buy sovereign bonds sent yields in Spain and Italy to record lows yesterday, following ECB President Mario Draghi’s pledge on Nov. 21 to revive inflation “as fast as possible.” While staff are now working on options for more stimulus, suspense remains on whether his sense of urgency will extend to action next week even if data such as inflation due on Nov. 28 disappoint.