ECB to announce a future reduction in the QE run rate - BNPP

Research Team at BNP Paribas expects the ECB to announce a future reduction in the QE run rate in its meet today.

Key Quotes

“The main focus next week will be the European Central Bank policy meeting (8 December). Our economists’ base case remains that the ECB will extend its asset purchase programme from March by six months, but at a reduced run rate of EUR 60bn per month. A result in line with our expectation – an extension at a reduced pace – has the potential to be moderately bullish for the EUR, although President Mario Draghi’s accompanying message justifying the run rate reduction will also be important.”