The European Central Bank, as expected, kept monetary policy unchanged after the Governing Council meeting. Both the interest rate and the purchase program were unchanged. The ECB indicated that risks are skewed to the downside and to carefully analyze upcoming data, including the dynamics of the pandemic, the vaccine outlook and events related to the exchange rate.
In the statement, the ECB opened the doors to changes at the next meeting by stating that the new macroeconomic projections of the board’s staff in December will allow a complete reassessment of the economic outlook and the balance of risks. This will lead to a recalibration of the instruments.
Credits: Forex Street