22 Jul 2014
Markets pensive on ECB’s initiatives - BAML
FXStreet (Guatemala) - Analysts at Bank of America Merrill Lynch noting the market slow on the uptake and tentativeness around ECB initiatives.
Key Quotes:
"On 5 Jun, the ECB announced a series of quarterly Targeted Long Term Repo Operations (TLTROs) to provide term funding to Eurozone banks up to Sep 2018. Details of the operations were provided at the last ECB meeting on 3 Jul."
"Yet, so far the market has not reacted much to them. We believe that the complexity of the operations and the number of uncertainties related to the take-up at each operation are preventing the market from expressing a strong view on the impact of TLTROs on the Euro front-end."
Key Quotes:
"On 5 Jun, the ECB announced a series of quarterly Targeted Long Term Repo Operations (TLTROs) to provide term funding to Eurozone banks up to Sep 2018. Details of the operations were provided at the last ECB meeting on 3 Jul."
"Yet, so far the market has not reacted much to them. We believe that the complexity of the operations and the number of uncertainties related to the take-up at each operation are preventing the market from expressing a strong view on the impact of TLTROs on the Euro front-end."