Draghi Poised to Unleash a Fresh Batch of ECB Stimulus

All eyes will switch to Frankfurt Thursday and the monthly monetary policy meeting of the European Central Bank, where President Mario Draghi is widely expected to reveal fresh stimulus measures in a bid to fend off sluggish inflation and lackluster growth.

Investors looking at the details of a possible fresh package mostly agree that Draghi is likely to address a number of areas of the bond-buying program currently in place, but much of the details are still very much up for debate.

The main tweaks he is expected to make are on the size and timetable of the bank’s massive 60 billion euro ($63.6 billion) a month bond-buying scheme or a further push of the deposit rate into negative territory.

But market estimates just how much Draghi is likely to move are still pretty far-ranging.


This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Craig Erlam

Craig Erlam

Senior Market Analyst, UK & EMEA at OANDA
Based in London, Craig Erlam joined OANDA in 2015 as a market analyst. With many years of experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while producing macroeconomic commentary. His views have been published in the Financial Times, Reuters, The Telegraph and the International Business Times, and he also appears as a regular guest commentator on the BBC, Bloomberg TV, FOX Business and SKY News. Craig holds a full membership to the Society of Technical Analysts and is recognised as a Certified Financial Technician by the International Federation of Technical Analysts.
Craig Erlam
Craig Erlam

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