The European Central Bank leaves the guidance on interest rates and above all the monetary policy unchanged, prolonging Qe until the end of the year "or even beyond". As expected, the Mario Draghi-led bank left its main refinancing rate unchanged at zero following today's executive committee meeting. The ECB also confirmed overnight deposit rates at -0,40%. at the ECB desk. The marginal lending rate remains at 0,25%. The bank also reiterated that rates will remain at current levels or lower "for an extended period of time and well beyond the horizon of the securities purchase programme".
All unchanged also on the Qe front: the ECB confirmed that it will keep the purchases of securities under the program at 80 billion until the end of March, to move up to 60 billion a month until December of this year “or beyond, if necessary, and in any case until the Governing Council sees a sustained adjustment in inflation in line with its inflation target”. If the prospects become less favorable or if financial conditions are not in line with further progress towards a sustained adjustment of inflation, concluded the ECB, "the Governing Council is ready to increase the amount of the program or to extend it".
