clear
Monday November 20th, 2017 6:32AM
8:34AM ( 21 hours ago ) Weather Alert

The Latest: ECB head says economy still needs support

By The Associated Press
Related Articles
  Contact Editor

FRANKFURT, Germany (AP) — The Latest on the European Central Bank's monetary policy meeting (all times local):

2:40 p.m.

European Central Bank President Mario Draghi says that "an amply degree of monetary stimulus remains necessary" in the economy of the 19-country eurozone.

Draghi spoke after the bank said it would scale back its bond purchase stimulus from 60 billion euros a month to 30 billion euros in January.

The purchases pump newly printed money into the banking system in hopes of raising inflation from the current annual 1.5 percent toward the bank's goal of just under 2 percent considered best for the economy. Strengthening economic growth that hit 2.3 percent annually in the second quarter means the ECB can ease off on the stimulus pedal slightly and hope that growing wages help it reach its inflation goal eventually.

___

1:50 p.m.

The European Central Bank says it will cut its bond purchases to 30 billion euros per month from 60 billion euros currently, starting in January.

The move dials back a stimulus measure that has supported the eurozone economy as it heals from a debt crisis that threatened to break up the currency union.

The ECB said Thursday that the purchases would continue at least until September 2018.

The bank kept some flexibility in its statement Thursday, saying that it could increase the purchases if the 19-country eurozone endures a new economic shock.

Steady growth has enabled the ECB to look toward phasing out extraordinary stimulus measures, in hopes that higher wages will eventually push inflation from 1.5 percent to its goal of just under 2 percent.

The ECB also said it was leaving its benchmark interest rates unchanged.

___

11:30 a.m.

The European Central Bank is expected to say how it plans to ease back next year on its stimulus programs that are credited with a boom in the 19-country eurozone.

The bank will decide Thursday how quickly to reduce the 60 billion euros ($71 billion) in monthly bond purchases. The program injects new money into the economy and pushes borrowing rates down in the wider economy.

Markets will be watching how aggressively the ECB decides to taper off the purchases, including how much longer it expects them to run. Currently they're slated to run until at least the end of this year.

The decisions could be outlined in a statement, followed by a fuller explanation in a news conference.

The ECB is otherwise expected to leave its key rates unchanged.

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Economy, AP Business - Industries, AP Business - Financial Services
© Copyright 2017 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Tillerson expects good discussion as he meets UN Syria envoy
US Secretary of State Tillerson meets UN Syria envoy over developments after fall of IS 'capital' of Raqqa
9:24AM ( 7 minutes ago )
Thailand grieves in elaborate final goodbye to King Bhumibol
Thais say farewell to their king and father figure on Bangkok's streets and at viewing areas around the nation, capping a year of mourning with funeral ceremonies steeped in centuries of tradition
9:19AM ( 12 minutes ago )
No sweat, no sport: EU says bridge card game is not a sport
The European Union's top court has ruled that when it comes to taxes, the game of bridge isn't a sport
9:08AM ( 23 minutes ago )
Associated Press (AP)
The Latest: Catalan leader's TV address cancelled
The Spanish government says it has no comment to make until after Catalan regional President Carles Puigdemont speaks
8:45AM ( 47 minutes ago )
The Latest: ECB head says economy still needs support
European Central Bank President Mario Draghi says that "an amply degree of monetary stimulus remains necessary" in the economy of the 19-country eurozone
8:41AM ( 51 minutes ago )
Stocks rise as ECB is careful in dialing back stimulus
World stock markets rise after the European Central Bank was cautious in its move to dial back on its bond-buying stimulus program
8:36AM ( 55 minutes ago )
AP Business
The Latest: Iraqi forces, Kurdish fighters trade fire
The Latest: Iraqi forces, Kurdish peshmerga fighters trade fire near border with Turkey as government troops move in
4:23AM ( 5 hours ago )
Asia shares drift after US fall, before Europe bank meeting
Asian shares drift as Wall Street's retreat from recent record highs, widely awaited European Central Bank meeting give investors reason to pause
3:08AM ( 6 hours ago )
Study: Premiums for popular ACA plan up by 34 percent
Analysis: Premiums for the most popular health plans under the Affordable Care Act are going up by an average 34 percent next year
3:04AM ( 6 hours ago )
AP Business - Economy
10 Things to Know for Today
Among 10 Things to Know: House GOP moves to pass budget, start tax debate; Trump coy on what's coming out on JFK assassination; Thailand grieves in elaborate final goodbye to King Bhumibol
7:44AM ( 1 hour ago )
European Central Bank to unveil plan to ease off stimulus
The European Central Bank is expected to unveil how it plans to ease back on its stimulus programs that are credited with a boom in the 19-country eurozone
5:29AM ( 4 hours ago )
World shares drift as Europe central bank meeting looms
World stock markets drift on uneven earnings reports; investors awaiting European Central Bank meeting
5:14AM ( 4 hours ago )
AP Business - Industries
Uber rides into credit card market with no-fee card
Ride-hailing giant Uber unveiled the details of its new co-branded credit card with British bank Barclays on Wednesday, announcing a no-fee, cash-back card aimed at becoming major part of your everyday spending habit
1:42PM ( 19 hours ago )
White House welcomes Senate vote killing consumer rule
The Republican-led Senate has voted narrowly to repeal a banking rule that would let consumers band together to sue their bank or credit card company to resolve financial disputes
10:16AM ( 23 hours ago )
Senate GOP votes to repeal consumer rule
The Republican-led Senate has voted narrowly to repeal a banking rule that would let consumers band together to sue their bank or credit card company to resolve financial disputes
4:16AM ( 1 day ago )
AP Business - Financial Services
Tillerson expects good discussion as he meets UN Syria envoy
US Secretary of State Tillerson meets UN Syria envoy over developments after fall of IS 'capital' of Raqqa
9:24AM ( 7 minutes ago )
Thailand grieves in elaborate final goodbye to King Bhumibol
Thais say farewell to their king and father figure on Bangkok's streets and at viewing areas around the nation, capping a year of mourning with funeral ceremonies steeped in centuries of tradition
9:19AM ( 12 minutes ago )
No sweat, no sport: EU says bridge card game is not a sport
The European Union's top court has ruled that when it comes to taxes, the game of bridge isn't a sport
9:08AM ( 24 minutes ago )
Union Pacific's 3Q profit grows 6 percent despite challenges
Union Pacific delivered a 6 percent improvement in third-quarter profit even though it hauled 1 percent less freight and dealt with disruptions from Hurricane Harvey
9:05AM ( 27 minutes ago )
Explosion, inferno at Indonesia fireworks factory kills 47
An explosion and inferno at a fireworks factory near the Indonesian capital has killed at least 47 people and injured dozens
8:51AM ( 40 minutes ago )