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Full Version: ECB looking at risk-sharing mix for QE plan: sources
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ECB QE(s) are much more complicated in execution, comparing with the FED's...Big Grin

ECB looking at risk-sharing mix for QE plan: sources

FRANKFURT - The European Central Bank is considering a dual approach to government bond purchases which would involve both it buying debt and sharing the risk across the euro zone and, in a nod to German qualms, separate purchases by national central banks.

Sources familiar with the discussions said such a bond-buying option, also known as quantitative easing (QE), is among the tools the ECB is preparing ahead of its Jan. 22 policy meeting should it decide to act to address falling consumer prices and a growing risk of deflation in the euro zone.

Several QE plans are under discussion and nothing has been decided so far. But the debate reflects the ECB's efforts to build a robust program that meets German concerns about how much it would take of the risk yet convinces investors anticipating an unlimited money-printing pledge.

Markets and many economists believe anything short of an unlimited money-printing pledge will fail to revive a moribund euro zone economy.
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http://www.todayonline.com/business/ecb-...an-sources