ECB: Not expecting too much new information - Nomura

Analysts at Nomura are not expecting too much new information from today’s ECB policy board meeting and although recent economic data have been weaker than expected, the ECB is likely to downplay the consequences.

Key Quotes

“Similarly, while core inflation data have also been subdued, that’s partly because of last year’s euro appreciation and should not – at this stage – alter the ECB’s longer-term inflation outlook. Therefore, we expect the ECB to maintain the status quo and reinforce its view that gradual monetary policy normalisation steps are still needed. We continue to expect the ECB to shift toward more a hawkish stance in coming months.”