KONTAN.CO.ID - LONDON. Euro zone government bond yields began to reverse some of the rises seen after Thursday's European Central Bank meeting, where policymakers left rates unchanged but opened the door to more easing, underwhelming investors who had hoped for more. Expecting ECB President Mario Draghi to prepare the ground for another round of monetary easing, if not a rate cut, investors had piled into euro zone government bonds before the meeting, but some of the positioning was unwound during Draghi's comments to the press. Draghi told reporters "this (economic) outlook is getting worse and worse", increasing the need for stimulus. But investors latched on to his comment that the ECB wanted to see more projections of how the economy was performing before taking action.
Everything but the cut: European bond yields lower on easing expectations
KONTAN.CO.ID - LONDON. Euro zone government bond yields began to reverse some of the rises seen after Thursday's European Central Bank meeting, where policymakers left rates unchanged but opened the door to more easing, underwhelming investors who had hoped for more. Expecting ECB President Mario Draghi to prepare the ground for another round of monetary easing, if not a rate cut, investors had piled into euro zone government bonds before the meeting, but some of the positioning was unwound during Draghi's comments to the press. Draghi told reporters "this (economic) outlook is getting worse and worse", increasing the need for stimulus. But investors latched on to his comment that the ECB wanted to see more projections of how the economy was performing before taking action.