Lagarde speech: Most likely new balance sheet will be lower than now

While testifying before the Committee on Economic and Monetary Affairs (ECON) of the European Parliament on Thursday, European Central Bank (ECB) President Christine Lagarde said that the new policy framework will most likely comprise bond portfolio and lending operations, per Reuters.

Lagarde noted that they expect the framework review to be completed in a couple of months and added that the new balance sheet will most likely be lower than now.

Market reaction

These comments failed to trigger a noticeable reaction in the Euro. At the time of press, EUR/USD was virtually unchanged on the day at 1.0732.