Comment on European Central Bank to detail stimulus plan

European Central Bank to detail stimulus plan

NAPLES, Italy (AP) — European Central Bank head Mario Draghi is expected Thursday to underline the bank's willingness to deploy more economic stimulus measures, a stance that could send the euro skidding even lower. [...] a drop in the currency — which helps eurozone exporters and could nudge up worryingly low inflation — might be the most effective stimulus to come out of the ECB's monthly meeting. While the eurozone's chief monetary authority is faced with weak economic indicators, particularly a record low inflation rate, it is unlikely to take any more drastic action on Thursday, having already cut interest rates and unveiled two stimulus programs since June. Large scale purchases of government bonds — called quantitative easing, or QE — is what the Federal Reserve did to help the U.S.

 

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