All roads lead towards ECB today - TDS

Research Team at TDS, suggests that today the key event is the ECB meeting and TDS is looking for rates and QE to remain unchanged and for the opening statement to be largely unchanged from September.

Key Quotes

“The Q&A should prove a little more interesting, given the large number of “leaks” from ECB sources over the last few weeks. We look for Draghi though to refrain from discussing how to tweak the QE parameters and leave that decision entirely for December, but we also look for him to fail to deny that the ECB may taper after March, leaving markets with a more hawkish tone.

Outside of the ECB decision, we also have the two-day EU Leaders’ Summit beginning today. Official agenda topics include migration, trade, and relations with Russia, but given the increasing focus on Brexit following the Conservative Party’s conference, there will be some Brexit discussions on the sidelines. And since the rhetoric recently has been leaning toward hard Brexit, the risk is toward more downward pressure on sterling.”