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13 Mar 2015
The ECB's market effect - Rabobank
FXStreet (Guatemala) - Analysts at Rabobank noted markets reaction to the ECB's start to their PSPP programme.
Key Quotes:
"Rather than reassuring market participants, the ECB’s aggressive start to the Public Sector Purchase Programme (PSPP) on Monday of this week has seemingly served to underscore a sense of urgency that the supply of eligible debt could come under pressure."
"Reflecting these concerns, core euro area government bonds have extended gains, dragging yields to record lows as the bull flattening witnessed ahead of the purchase programme was magnified significantly."
Key Quotes:
"Rather than reassuring market participants, the ECB’s aggressive start to the Public Sector Purchase Programme (PSPP) on Monday of this week has seemingly served to underscore a sense of urgency that the supply of eligible debt could come under pressure."
"Reflecting these concerns, core euro area government bonds have extended gains, dragging yields to record lows as the bull flattening witnessed ahead of the purchase programme was magnified significantly."