ECB rate decision and press conference is a main focus for today. No change is expected in monetary policy. And the main refinancing rate will be held at 0.00%.
As recent economic data pointed to further weakness in the Eurozone economy, ECB president Mario Draghi might turn a bit more cautious or even dovish in the press conference.
Market has already pushed back their expectations on the first rate hike to mid-2020. But, ECB is still unlikely to make any change to the forward guidance. That is, ECB will reiterate that interest rates will stay at present level at least through summer of 2019. ECB probably would wait for more incoming data before making such a change.
Here are some suggested previews on ECB:
- ECB Preview – ECB to Turn More Dovish as Economic Data Surprise to Downside
- ECB Meeting and Eurozone PMIs Eyed as Euro/Dollar Flirts with Trendline
- ECB Preview: Dovish Draghi Expected, So Could EUR/USD Rise?
- No NY’s Resolutions from ECB
- ECB Preview: We Assign 60% Chance of ECB Hike in December 2019
