FXStreet (Delhi) – Jim Reid, Research Analyst at Deutsche Bank, suggests that their European Economists are expecting a three-pronged easing announcement. Key Quotes “Firstly, they expect the ECB to increase the pace of QE by EUR 10bn and also increase the range of assets available to purchase. This could possibly be done through including regional and local government purchases. Secondly they expect the duration of QE to be extended for six months to March 2017. Lastly, they expect a 10bp cut in both the deposit rate and refi rate as well as the removal of the yield floor from the asset purchase programme.” “12.45pm GMT is when we’ll know just how aggressive the ECB decide to be, while President Draghi is scheduled to speak at the press conference shortly after. Policy makers are also due to present their latest updated economic forecasts.” “Yesterday’s benign inflation data for the Euro area did nothing other than add fuel to the fire for today. The November headline CPI reading was unchanged at +0.1% mom (vs. +0.2% expected) while the core dipped a couple of tenths to +0.9% yoy (vs. +1.1% expected).” For more information, read our latest forex news.