A December la European Central Bank could start new stimuli to the economy. She said it today Mario Draghi, number one of the Eurotower, during the press conference after the meeting of the Governing Council which in the morning confirmed the reference rate of the euro area at the historic low of 0,05 percent. The rate on marginal lending and that on bank deposits remain respectively at 0,30% and -0,20%.
The further (and possible) monetary policy move would be a response to the downside risk weighing on growth and inflation, as well as to the problems of some emerging countries.
Draghi's announcement produced an immediate reaction in the foreign exchange market, with the falling euro at 1,12 on the dollar. The European stock exchanges, however, accelerated upwards: Milan and Paris +0,7%, Frankfurt +0,8%.
“Since our last meeting – noted the President of the Central Bank – inflation expectations in the short term they fell, but those in the medium and long term, after an initial decline, recovered, both on the markets and in surveys. However, we see downside risks. The risks of de-anchoring have not materialized but have increased”.
At the moment – added the number one of the ECB – the purchases of the quantitative easing program "are proceeding without problems and have a favorable impact on the availability of credit for households and businesses".
Draghi reiterated that the institution can, if necessary, take action on the current quantitative easing programme, leveraging on mole e duration of securities purchases.
On the other hand, today the Governing Council also discussed the possibility of launching another cut in deposit rates that the banks park at the ECB.
