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Thursday, March 7

7th Mar - ECB goes dove and more to come #4039




EUROPE
Merkel’s Successor Is Politically IncorrectBB
There’s a reason Annegret Kramp-Karrenbauer doesn’t feel the need to apologize when a group takes offense at her comments.

  EUROPEAN CENTRAL BANK
ECB Watch: The illusion of a real easing packageNordea
The ECB surprised by announcing an easing package already today. A closer inspection reveals the package is less ambitious than Draghi suggested and does not change the market outlook materially. We now expect the first rate hike in June 2020.

ECB Review: A postcard from JapanDanske Bank
the ECB surprised us by announcing a series of TLTRO3 starting in September 2019 and continuing until March 2021, each with a two-year maturity. The ECB further extended the rate forward guidance to rates remaining at present levels ‘at least through the end of the 2019’.

ECB: Panic in Frankfurt?IGN
A sign of panic or an attempt to get ahead of the curve? The European Central Bank surprised almost everyone by announcing a new series of measures, trying to avoid an unwarranted tightening of its monetary stance

ECB: Dovish gambleIGN
With new TLTROs and a change to the forward guidance, the European Central Bank (ECB) today tried to get ahead of the curve. The measures demonstrate the ECB’s determination but will do little to tackle the drivers of the current slowdown.

ECB may need to do more in coming monthsABN AMRO
Inflation to undershoot in 2021 despite today’s policy steps * Forward guidance more dovish, TLTRO announced * ECB view: Growth revised lower, risks remain tilted to downside * More action in coming months

ECB Takes a First Step to Admitting Its Mistake BB
Officials have growing concerns on the economy. That their stimulus came so soon after QE ended suggests some issues with decision making.

Why the ECB Followed the Fed’s Flip-Flopping BB
Extraordinary steps tell markets to expect sharply slower growth, continued low interest rates and increased central bank liquidity.

ECB unveils fresh bank stimulus amid eurozone gloom FT
Cheap loans and rate outlook put Draghi in camp of central bankers making monetary U-turn

Martin Sandbu: Will the ECB ever be able to abandon monetary stimulus? FT
The economy has turned out, time and again, to be weaker than expected

European Banks Tumble After ECB: Here's Why It's Not WorkingZH


REGULARS
Five Things to Start Your Day AsiaBB

Eco Day AsiaBB
Beige Book Warning, China Cash Conundrum, New ECB Loans * OECD cuts global outlook again and warns worse may be ahead * Australia’s swap rates are sliding as rate-cut calls intensify

Five Things to Start Your Day Europe BB

EU Open RundownRANsquawk

FirstFT Daily BriefingFT

Brussels BriefingFT
The ECB confronts the slowdown: central bank is unlikely to do an about-turn just yet on bond-buying

Brussels EditionBB

Brussels PlaybookPolitico
Parliament is closed — RIP asylum reforms — How to fight the Red Elephant

Danske DailyDanske Bank

Eco Day EuropeBB
ECB Fresh Support, BOE in No Rush, Trade War Scars * Serbian central bank set to hold rates, awaits ECB guidance * Robust U.S. data could see Fed Reserve still raising rates

Daily Market CommentMarc Chandler
EMU looks to ECB

Five Things to Start Your Day USBB

US Open RundownRANsquawk

US OpenZH
Markets Slide On Worsening Global Growth Outlook, All Eyes On Draghi

Eco Day USBB
Trade War Scars, ECB Fresh Support, BOE Patience * Deal or no deal, trade war is leaving scars on global economy * ECB readies policy response amid slowdown in euro-area


FINNISH
Aamukatsaus Nordea
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