All eyes on ECB next week - ANZ

Analysts at ANZ explained that the ECB meeting next Thursday will be upon markets before they know it.  ECB vice president Constancio has said no upgrade to forward guidance is expected.

Key Quotes:

"Draghi, being firmly in the dovish camp, is also likely to stress the commitment to full implementation of QE and possibly concern at “sudden” movements in the exchange rate. So EUR/USD is pausing for breath just now. However, overnight Coeure noted that the euro area is in expansion,  no longer ‘recovery’."

"The ECB at present still has its foot fairly flat to the floor, which is helping keep US long-end bond yields down (although they are attempting to push higher) – and by association, New Zealand’s. The ECB arguably warrants closer watching than the Fed at present. While the Fed is further along the tightening curve, it is priced in."

"The ECB would seem to have greater potential to give bond markets an unwelcome surprise."