Sentences with phrase «euro bond purchase»

Not exact matches

The European Central Bank on December 3 dropped one of its main policy rates to negative 0.3 % from negative 0.2 % and said it would extend its bond - buying program, under which it creates euros to purchase debt, to at least March 2017.

Until now, the ECB has stated that it stands ready to increase the level of bond purchases it makes in both duration and / or size, in case the economic outlook deteriorates in the euro zone.

The ECB announced in October that it will cut the level of bonds it purchases every month, starting in January, to 30 billion euros ($ 35 billion) from 60 billion euros.

Launched three years ago to fight off the threat of deflation, the ECB's 2.55 trillion euro ($ 3.14 trillion) bond purchase programme has kept borrowing costs low to induce spending and investment, all with the ultimate aim of generating inflation.

In addition, the Governing Council announced it would purchase asset - backed securities with underlying assets consisting of claims against the euro area non-financial private sector and euro - denominated covered bonds issued by monetary financial institutions (MFIs) domiciled in the euro area.

But long - term government bond yields fell to record lows for many euro area countries after a speech by ECB President Draghi on 21 November, which stressed that the ECB will do what is required to raise inflation and inflation expectation by adjusting the size, pace and composition of asset purchases, if the currently announced policies prove to be insufficient.

Draghi offered no indication of any looming change in the bank's statement that it would continue purchasing 30 billion euros ($ 37 billion) per month in bonds at least through September, and longer if necessary.

Open Europe, a Brussels - based think tank, estimates that through government bond purchases and liquidity provisions to banks, the ECB's exposure to Greece, Portugal, Ireland, Italy, and Spain has reached 705 billion euros, up from 444 billion euros in early summer - a 50 percent increase in six months (their note was published prior to the December 21 three - year LTRO, which likely further boosted lower quality collateral).

The financing needs coming due in the first quarter «imply that euro area banks will not have extra money as a result of the three - year auction to purchase European sovereign bonds, using a carry - trade strategy, because the amount of fresh cash is less than the amount of bank debt that will mature during the quarter», Powell wrote recently.

During this two - year crisis investors have continually called on the ECB and euro area leaders to «fix» the debt issue: by wiping out half of Greece's debt, by protecting Italy's access to debt markets through bond purchases, or by suggesting a levered EFSF, the euro area's rescue vehicle.

The bank, the monetary authority for the 19 countries that use the euro, has been purchasing bonds with newly created money since March 2015 in an effort to boost inflation from levels considered too low.

The long - anticipated introduction of euro zone government bond purchases will bring the ECB's buying program into line with the U.S. Federal Reserve's quantitative easing (QE).

One of the more likely steps would be to extend its current 80 billion euros ($ 90 billion) per month in bond purchases from banks and other financial institutions.

Outright Monetary Transactions are a bond - buying program announced in September 2012 in which the European Central Bank would offer to purchase eurozone countries» short - term bonds in the secondary market to bring down the market interest rates faced by countries subject to speculation that they might leave the euro.

As anticipated, the ECB held its policy rates constant with the deposit rate remaining at -0.4 % and monthly government bond purchases of $ 60bn euro, despite a slightly brighter outlook on GDP growth, which is expected to rise to 2.2 % in 2017, Mario Draghi announced during yesterday's ECB monetary policy meeting.

Outright Monetary Transactions are a bond - buying program announced in September 2012 in which the ECB would offer to purchase eurozone countries» short - term bonds in the secondary market to bring down the market interest rates faced by countries subject to speculation that they might leave the euro.

Outright Monetary Transactions are a program installed by the ECB to purchase sovereign bonds issued by euro Member States.