News is abuzz that ECB plans to print another $750 billion due to pandemic is on the way for discussion in the meeting to be held on December 10th.
A news post on Trustnodes stated that ECB wants to print another $750 billion. This ensures that the program would be dragged to 2022. It makes a total of $2 trillion for printing in the next year and a half for extending its bond purchases by 12 months.
Isabel Schnabel, the executive board member said, purchasing debt during the middle of 2022 is perhaps the only choice. Martins Kazaks, who is Latvian central bank governor indicated that the decision would be ably supported by him.
Most of the officials of the ECB are happy with the extension for 12 months. They want to make sure that the market expectations are fought with adequately. That is because the pricing during December 2021 where $500 billion will get printed.
Bittrail which is a publisher in crypto news had tweeted on ECB planning on printing another $750 billion.
A news post on Reuters stated in March itself; the European Central Bank was planning to cap the number of bonds purchased from a single country in the Eurozone. However, they dropped the idea.
This has cleared the path for unlimited money-printing because it wants to take some initiative because of the coronavirus outbreak. The latest on that, the governing council members are planning that they want to cut off from the idea.
For now, they don’t mind extending the program because of the pandemic. This is during the low inflation in the eurozone at -0.3%. It is because the rise of money substantially decreases in Europe due to a deflationary trap.
The negative interest rates are not good news for the American stock market. Negative interest has already seeped into retail banking. Traders are trying to hedge with bitcoin as it comes with an extensive limit that can benefit from the trillion-dollar across Europe and the United States.