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10 Sep 2015
QE could be extended if needed – ECB’s Liikanen
FXStreet (Mumbai) - The European Central Bank (ECB) member Liikanen was on the wires today, reiterating that QE/bond purchases could be extended if needed.
He added that economic recovery is proceeding slower than expected. Liikanen’s comments are in line with the message delivered by the ECB chief Draghi last week. Earlier today, Bloomberg reported that ECB intends to purchase more of the Asset Backed Securities (ABS).
Last week, the ECB deepened its QE program. It announced an increase in the issue share limit of bonds included in QE purchases to 33% from 25%. The increased limit means the ECB can buy a higher share of an individual nation's bond issue, giving it more freedom of concentrating on particular issues.
He added that economic recovery is proceeding slower than expected. Liikanen’s comments are in line with the message delivered by the ECB chief Draghi last week. Earlier today, Bloomberg reported that ECB intends to purchase more of the Asset Backed Securities (ABS).
Last week, the ECB deepened its QE program. It announced an increase in the issue share limit of bonds included in QE purchases to 33% from 25%. The increased limit means the ECB can buy a higher share of an individual nation's bond issue, giving it more freedom of concentrating on particular issues.