ECB edging slowly towards quantitative easing

ECB President Mario Draghi’s statement last week that “QE falls squarely in our mandate” was perhaps the strongest signal yet that the ECB is considering bolder policy support. But Bundesbank President Jens Weidmann voiced his discomfort with even the current level of monetary policy accomodation, suggesting that resistance from Germany will be a key factor delaying any decision to press ahead and limiting the scope and reach of QE if and when it is implemented.