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Question on are there diminished returns to.....>

ECB
ECB: Question on are there diminished returns to mon pol instruments?
- A: Maybe, but that doesn't mean we shouldn't use them. ECB are not resigned to
secular stagnation. That's why the ECB will act if no improvement. 
Q: What would cut in deposit rate achieve?
- A: Gives usual unchanged transmission channel answer affecting short-end of
yield curve. Long-end affected by QE. The committee looking for new things if
there are any.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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