(MENAFN– ecpulse) The main attention today will be on Europe’s Central Banks monetary decisions. Markets will wait for something new from the European Central Bank governing council as recovery looked weak and deflationary threats increased, while the Bank of England is expected to keep rates steady.
ECB mulls QE stimulus
Some economists are already predicting that the European Central Bank (ECB) will cut its key rate for the second time in three months to prevent low inflation from further damaging the Eurozone`s stagnant economy.
ECB President Mario Draghi has signaled that large-scale asset purchases may be needed to defend the euro region against deflation.
The decision comes at 11:45 GMT, and President Mario Draghi will speak at a press conference at 12:30 GMT.
In June, the ECB reduced rates to record lows and unveiled a four-year lending program for banks.
BoE set to hold rates
The Bank of England is set to keep interest rates at a record-low 0.50 percent this week, as it eyes slowing inflation before next year`s election.
Governor Mark Carney lost his consensus on interest rates last month as two of nine policy makers broke ranks and voted to raise the key rate from a record-low 0.5 percent.
The MPC was divided in August for the first time in more than three years, with two policymakers breaking ranks to call for a quarter-point rise from 0.50 percent - where rates have stood since March 2009.
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