Bank of Japan Signals Cautious Path Toward Further Rate Hikes Amid Yen Weakness 
Bank of Korea Expected to Hold Interest Rates as Weak Won Limits Policy Easing 
MAS Holds Monetary Policy Steady as Strong Growth Raises Inflation Risks 
New York Fed President John Williams Signals Rate Hold as Economy Seen Strong in 2026 
U.S. Urges Japan on Monetary Policy as Yen Volatility Raises Market Concerns 
ECB Signals Steady Interest Rates as Fed Risks Loom Over Outlook 
China Holds Loan Prime Rates Steady in January as Market Expectations Align 
It seems we were conservative in our estimates, while European Central Bank wasn't in their actions.
Actions from ECB
- Main refinance rates were cut by 0.05% to zero, so it's basically free money for banks and institutions.
- Marginal lending rate reduced by 5 basis points to 0.25%.
- Deposit rates reduced by 10 basis points to -0.4%.
- Purchase program size increased by €20 billion/month to €80 billion per month.
- Investment grade nonbank corporate bonds added to PSPP program.
- Launched four new LTROs.
Market is reacting as expected.
Bond yields are down across Europe. German DAX is up 2.6%, European blue chip index, EuroStxx50 is up 3.5%.
Euro is down -1.3% against Dollar, trading at 1.084.
