ECB's asset purchases beyond EUR 60 bn a month, a possibility

The ECB will have to support the recovery for a long time and forecast that the main refi rate will remain unchanged at 0.05% over the forecast horizon and the deposit rate will stay unchanged at -0.20%. 

"Regarding asset purchases, the ECB is expected to keep a steady hand and also consider it likely that bond purchases will go on even after September 2016 in order to bring inflation closer to the target", says Nordea Bank. 

Expanding the asset purchases beyond EUR 60 bn a month is a possibility. It is considered to be more likely, though, that the ECB will look through the current phase of inflation close to zero and not increase the monthly purchase volume. A very low probability to further rates cuts.