19 Nov 2013
ECB's Constancio signalizes QE is a possibility
FXstreet.com (Barcelona) - ECB Vice President Vitor Constancio said on Tuesday that the possibility of introducing quantitative easing by the central bank in order to stimulate growth in the Eurozone hadn't been discussed in depth by the Governing Council, but that it was mentioned as an option.
Constancio told reporters that he had nothing to add to what ECB Executive Board member Peter Praet said about the issue last week, namely that the central bank could begin asset purchases with the aim pushing inflation up towards the 2% objective.
"That was only referred to as a possibility, nothing else," Constancio assured, adding that the decision to proceed with QE is based on the Governing Council's “views about inflation and prospects for inflation."
Furthermore, the ECB Vice President expressed his concerns about introducing negative deposit rates, explaining however that “policy decisions are always about trade-offs. It's not a perfect science, there are concerns of course."
Constancio told reporters that he had nothing to add to what ECB Executive Board member Peter Praet said about the issue last week, namely that the central bank could begin asset purchases with the aim pushing inflation up towards the 2% objective.
"That was only referred to as a possibility, nothing else," Constancio assured, adding that the decision to proceed with QE is based on the Governing Council's “views about inflation and prospects for inflation."
Furthermore, the ECB Vice President expressed his concerns about introducing negative deposit rates, explaining however that “policy decisions are always about trade-offs. It's not a perfect science, there are concerns of course."