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VIEW: Pictet's Ducrozet weighs in on the........>

ECB
ECB: VIEW: Pictet's Ducrozet weighs in on the collateral moves from the ECB: "In
short, today's decisions are not a game-changer as the ECB won't be buying HY
debt outright, nor will it protect Italy from rating downgrades completely.
Still, it provides a backstop for the market not to be concerned about bank
funding issues related to a shrinking collateral pool in case of rating
downgrades...It's another welcome step, no question, as it will preserve the
collateral pool for the next 18 months including in upcoming weekly LTRO and
quarterly TLTRO operations, but it falls short of the most radical measures that
the ECB could ultimately contemplate."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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