- ECB Loads Up Stimulus Salvo as Draghi Laments Worsening Outlook
by Carolynn Look, https://www.bloomberg.com/
* Governing Council changed policy language to prime for easing
* Euro erased drop as president signaled differences of opinion
President Mario Draghi set the stage for his European Central Bank to deliver another round of monetary stimulus in September to combat the euro area’s severe economic slowdown.
“This outlook is getting worse and worse,” Draghi said in Frankfurt on Thursday after a meeting of the ECB’s Governing Council. “It’s getting worse and worse in manufacturing, especially, and it’s getting worse and worse in those countries where manufacturing is very important.”
Policy makers committed to review a swathe of options including interest-rate cuts and renewed quantitative easing. Still, the euro and bond yields erased earlier declines as the president said Governing Council members had “different nuances” over the exact design of any package.