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Wary ECB decides to buy fewer bonds, but do it for longer

Hedging its bets, however, ECB also extended the bond-buying programme's lifespan

Reuters  |  Frankurt 

The European Central Bank, taking its biggest step yet in weaning the eurozone economy off years of stimulus, announced on Thursday it was cutting back on its lavish monthly purchase of eurozone bonds. Hedging its bets, however, it also extended the bond-buying programme's lifespan. The bank cut bond buys in half to 30 billion euros a month, taking comfort in an economic recovery now in its fifth year and moving in sync with peers like the US Federal Reserve and the Bank of England, as they also prepare to tighten policy. Yet, the ECB remains bothered by low inflation, so ...

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First Published: Thu, October 26 2017. 18:50 IST