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{eu} Lane on asset purchases vs rate cuts:......>

ECB
ECB: {eu} Lane on asset purchases vs rate cuts:
"Policy measures that operate primarily through the risk-free curve - like rate
cuts - are unlikely to be as effective at the current juncture as they are in
non-stressed conditions - whereas policy measures that directly intervene on
sovereign yields may in fact become more effective as they directly compress
relevant premia in this market segment. While we stand ready to cut policy rates
in the future as market conditions normalise and if warranted by the medium-term
inflation outlook, this evidence tilts the balance towards asset purchases as
the more efficient tool in current circumstances."

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