FRANKFURT — European Central Bank policymakers last month debated the trade-off between various options for extending its asset buying, with some arguing that a reduction was warranted in any scenario, accounts of their meeting showed on Thursday. With its 2.3 trillion euro bond purchases scheme due to expire in December, the ECB is under pressure to decide what to do with it. It has to reconcile rapid economic growth and job creation with anaemic wage growth and an inflation rate that will undershoot its nearly 2 percent target into the next decade. Markets currently expect the central bank to cut its purchase volumes by a third to 40 billion euros a month with the scheme seen being extended by six to nine months. Advertisement Continue reading the main story"Members also discussed some general trade-offs inherent in various scenarios for the future recalibration of the asset purchase programme and, in particular, the choice between the pace and the intended duration," the ECB said, describing the discussion as preliminary.

Source: New York Times October 05, 2017 11:37 UTC