Citi Says Even Odds Of Eurozone QE By Year’s End

It’s no secret that the European Central Bank is worried about low inflation rates in Europe that look like they are heading toward deflation, or that ECB president Mario Draghi wants a weaker euro, but until now he hasn’t been willing to engage in Federal Reserve-style qualitative easing, preferring to work indirectly through the banks and through public guidance that hasn’t had as much of an effect on euro-dollar exchange rates as he may have hoped.

“We believe that the chances of unsterilized large-scale asset purchases (LSAPs) of public and private assets being...