ECB to ask for more cash to buy up bonds

first_img whatsapp ECB to ask for more cash to buy up bonds Tags: NULL KCS-content Share by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryMoneyPailShe Was A Star, Now She Works In ScottsdaleMoneyPailTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastNoteabley25 Funny Notes Written By StrangersNoteableySerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesBrake For ItThe Most Worthless Cars Ever MadeBrake For ItBetterBe20 Stunning Female AthletesBetterBeMagellan TimesThis Is Why The Roy Rogers Museum Has Been Closed For GoodMagellan TimesElite HeraldExperts Discover Girl Born From Two Different SpeciesElite Herald center_img whatsapp The European Central Bank (ECB) is to ask for more cash to aid in its battle against the spread of the Eurozone crisis. In its governing council meeting today and tomorrow, the bank will discuss whether to ask for a capital hike. With Germany, now seen as the Eurozone’s paymaster, already indicating that it would back an increase in the bank’s capital, it is likely to have its request granted. The move would be a departure from Germany’s stance on other measures touted as possible solutions to the Eurozone crisis. Chanceller Angela Merkel has blocked other extraordinary measures such as the issuance of Eurozone-wide bonds, which was called for by the Luxembourg finance minister, or an increase in the size of the Eurozone’s €440bn (£373bn) bailout fund. As for what the ECB will do with the extra cash, a German official said: “I imagine the ECB would hope to strengthen its basis in order to show the markets that it was well capitalised, if for example, it wanted to buy additional sovereign bonds.”The ECB was forced to resume its special bond-purchasing programme last month as gilt yields spiked to record highs and threatened to tip the Eurozone into chaos.It bought €2.67bn of bonds on the secondary market last week in an effort to keep government borrowing costs down, but it has been reluctant to relaunch the programme on the same scale as earlier in the year. Read This Next’A Quiet Place Part II’ Sets Pandemic Record in Debut WeekendFamily ProofHiking Gadgets: Amazon Deals Perfect For Your Next AdventureFamily ProofBack on the Rails for Summer New York to New Orleans, Savannah and MiamiFamily ProofIndian Spiced Vegetable Nuggets: Recipes Worth CookingFamily ProofAmazon roars for MGM’s lion, paying $8.45 billion for studio behind JamesFamily ProofYoga for Beginners: 3 Different Types of Yoga You Should TryFamily ProofNew England Patriots’ Cam Newton says no extra motivation from Mac Jones’SportsnautChicken Bao: Delicious Recipes Worth CookingFamily ProofCheese Crostini: Delicious Recipes Worth CookingFamily Proof Tuesday 14 December 2010 9:31 pm Show Comments ▼last_img read more