ECB decided to be flexible in reinvesting PEPP redemptions - Breaking The News

ECB decided to be flexible in reinvesting PEPP redemptions

15 June

1 min read

EPA-EFE/RONALD WITTEK

The European Central Bank (ECB) Governing Council decided on Wednesday to "apply flexibility in reinvesting redemptions" to be due in the pandemic emergency purchase program (PEPP) in order to "preserve the functioning of the monetary policy transmission mechanism." The ECB reached the decision at an unplanned meeting to discuss current market conditions.

The ECB also said it will work with relevant European bodies to "accelerate the completion of the design of a new anti-fragmentation instrument." However, it did not offer a timeline for the completion of the tool or provide details on its contents.

ecb pepp

ECB: High uncertainty due to tariffs, defense spending

3 April

The European Central Bank's latest meeting accounts revealed on Thursday that policymakers are no longer certain monetary policy remains sufficiently restrictive. The uncertainty is compounded by external pressures, with particular concern over the inflationary fallout from escalating United States tariffs and potential retaliation measures."The combination of US tariffs and retaliation measures could also pose upside risks to inflation, especially in the near...

ECB's De Guindos: We must be extremely prudent

3 April

European Central Bank (ECB) Vice-President Luis de Guindos said on Thursday that the central bank must be "extremely prudent" when determining the appropriate monetary policy stance due to an "extraordinarily high level of uncertainty." He said the ECB is exploring unconventional sources of risk and vulnerability and using a broader range of tools to measure the financial system's resilience.De Guindos estimated that an escalation in trade tensions...

ECB's Nagel: Tariffs to put policy progress to test

3 April

Member of the European Central Bank (ECB) Governing Council and Deutsche Bundesbank (Buba) President Joachim Nagel stated on Thursday that the ECB will have to "reassess the situation" after the United States' latest tariff announcement."Tariffs will put the monetary policy progress to the test," Nagel remarked in a statement, underlining that Washington's decision is threatening global economic stability."The prosperity of all" will come under attack, he...

ECB's Schnabel: Trade fragmentation hurting economy

2 April

European Central Bank (ECB) Executive Board member Isabel Schnabel underlined on Wednesday that any fragmentation of trade is "structurally harmful" for economic growth and inflation."Uncertainty about geopolitics, protectionism, and economic policy has surged. Sharp rise in tariffs weighs on stocks in affected sectors," she said while delivering a speech at the Masterclass of SciencesPo in Paris, France. Meanwhile, a single market "offers large...

This website uses cookies to ensure you get the best experience. Our Terms of Use and Data Protection Policy explain the data we collect, why we collect them, and how we may share them.