FXS: ECB refi rate cut not expected this week – TD Securities
FXstreet.com (Barcelona) - Since the ECB flipped the order of delivery and “gave us many of the details of the OMT in September and set the stage for a subsequent rate cut”, TD Securities analysts now expect a cut of the refi rate soon, not in today's press conference, but most likely in December. “The data the Governing Council will have on hand for this week’s meeting is consistent with a 24bps easing bias based on our EDIR measure of past responses”, wrote Richard Kelly, Head of European Rates and FX Research at TD Securities, expecting a move to negative deposit rates or “narrowing the corridor further by lowering the refi rate or lending rates from 0.75% or 1.50%, respectively”.
