ECB to toes on an ongoing cautious line? – NAB

Analysts at National Australia Bank (NAB) offer a sneak peek at what to expect from Thursday’s European Central Bank’s (ECB) monetary policy announcement.

Key quotes

“Meeting should be uncontroversial with no change in policy settings, no new forecasts, all against a rather benign market background.” 

“The question will be, is this a meeting where the overall message is the ECB is sufficiently encouraged by the outlook to allow markets to think an upgrade is coming in June, or will developments such as the Euro bounce (itself a sign of a global recovery) and the limited progress in the Recovery Fund, ensure the ECB toes an ongoing cautious line?”

Read: European Central Bank Preview: Five reasons for Lagarde to lift the euro