Economist Ducrozet Says ECB Could Still Surprise Markets

The transcript discusses a Bloomberg survey indicating economists' expectations for a reduction in QE to 30 billion for nine months. It highlights the ECB's clear communication and potential surprises in QE details. The discussion covers the possibility of a slower QE extension and the risks of setting an end date, given the current inflation and euro levels. The ECB is unlikely to make risky decisions that could affect the inflation outlook.

What does the Bloomberg survey suggest about the ECB's QE program?

• A complete halt of the QE program

• A reduction to 30 billion for nine months

• An indefinite extension of the current QE level

• An increase to 50 billion for six months

What is the potential impact of a slower and longer QE extension?

• Significant macroeconomic changes

• Immediate economic recovery

• No impact on the economy

• Only a slight difference in macro implications

Why is it considered risky to set an end date for the QE program?

• It could put the inflation outlook at risk

• It might cause a sudden drop in the euro's value

• It could lead to a rapid increase in inflation

• It would guarantee economic stability

What is the ECB's stance on taking risks with the QE program?

• The ECB is indifferent to risks

• The ECB is open to taking significant risks

• The ECB prefers a cautious approach

• The ECB plans to end the QE program immediately

How does the euro's current trade-weighted level affect the ECB's decision-making?

• It forces the ECB to decrease QE

• It encourages the ECB to increase QE

• It aligns with ECB staff expectations, but further appreciation could be risky

• It has no impact on the ECB's decisions