Market movers today
The big event of the day is the ECB meeting . The QE extension details are set to be released at 13:45 CEST in the 'monetary policy decision' press release, while other technicalities will first be announced in the press conference at 14:30 CET. We expect the ECB to announce a QE extension by nine months at a pace of EUR30bn. Apart from a scaling down of QE purchases, we do not expect the ECB to make any changes to its forward guidance at the upcoming meeting. For more, see ECB Preview: Ready to scale back QE , 18 October 2017.
However, we also have central bank action in the Nordic region with both the Riksbank and Norges Bank decisions at 9:30 and 10:00 CEST, respectively. In terms of the Riksbank, our view is that the will Riksbank end QE (but continue to reinvest coupons) by year-end but that the announcement will wait until the December policy meeting. Also, we do not expect changes to the Swedish repo rate forecast when the Riksbank meets. In Norway, we expect Norges Bank to stay on hold, as it is one of the intermediate meetings without a Monetary Policy Report and a press conference. Please see page 2 for further details.
To read the entire report Please click on the pdf File Below: