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3 Apr 2014
Conditions in-line for ECB rate cut - Danske Bank
FXStreet (Barcelona) - Kasper Kirkegaard, Chief Analyst at Danske Bank comments that today’s main event will be the ECB meeting.
Key Quotes
“The probability of immediate easing from the ECB has declined as indicated by statements from vice president Constancio that “the low figure of inflation in March will be corrected to a high figure in April”.”
“Other data has generally not deteriorated since the latest March meeting and the ECB could continue its current wait-and-see policy. However, the low inflation and the lowest wage inflation since 2009 should imply that the window remains open for the ECB to deliver a rate cut.”
Key Quotes
“The probability of immediate easing from the ECB has declined as indicated by statements from vice president Constancio that “the low figure of inflation in March will be corrected to a high figure in April”.”
“Other data has generally not deteriorated since the latest March meeting and the ECB could continue its current wait-and-see policy. However, the low inflation and the lowest wage inflation since 2009 should imply that the window remains open for the ECB to deliver a rate cut.”