Mario Draghi not expected to decide on an interest rate cut yet – Adam Narczewski

FXstreet.com (Barcelona) - The recent crisis developments in Cyprus as well as unfavorable Eurozone economic data are not sufficient reasons for the ECB to cut rates in April, in the opinion of Adam Narczewski. The analyst believes that an announcement of other measures to stimulate the economy would be more possible.

Adam Narczewski is not sure however what kind of measures could that be: “A bond buyback program is rather out of question. The ECB used to do that with the southern countries’ bonds, but it would sterilize them.” The expert does not see another LTRO round either: “hard to expect that one as currently banks are paying back the funds they got through LTRO.” That is why he braces for an interesting press conference following the interest rate decision.