ECB a non-event? - TDS

Analysts at TD Securities explained that the ECB meeting on 21 July should be a rather non-eventful one, with the ECB still in implementation mode.

Key Quotes:

"Markets will be watching for how the ECB sees the fallout from Brexit, but there we think they may be disappointed if they’re looking for strong signs of further easing to come just yet. We think that another rate cut is still a good bet before year-end, but there’s no immediate need to act with market conditions having held up better than we had expected and only modest downgrades to EZ growth forecasts."

"If anything, Draghi is likely to raise the fact that if the BoE hasn’t even responded yet and the implications there are clear, there is doubtful a need for the ECB to think about how it might need to tweak its policy."