Deutsche Bank: European Central Bank will not raise interest rates quite a long time

Remittance Network News March 9 – Deutsche Bank (Deutsche Bank) on Monday (March 9) said that due to the large output gap of the euro area in the short term it can not increase the rate of inflation, the European Central Bank [microblogging] for a long We can not raise interest rates for some time。Deutsche Bank further pointed out that the consequences of the European Central Bank not to raise interest rates brought about by the。  Deutsche Bank said it will bring three consequences: First, European stock markets yields will rise only。The euro area other assets primarily affected by the policy currency, its yield will be reduced to zero。  Second, the euro will further devaluation。If the ECB continue to implement quantitative easing policy of the Bank of Japan had been implemented, then the portfolio cash flow also need to adapt to this new policy。This policy may cost a few months makes bond yields dropped to negative, but this policy may take longer to make money invested in financial markets to invest in the real economy。  In addition, the euro zone's loose monetary policy to stimulate the economy, but also through corporate decision-making and voting consumers voting with their feet off the two hands, to become a true driving force of the economy。To become a net creditor to other European countries, at least we need to put out another one trillion euros。  Third, the debt problem。Long-term debt yields stagnant growth is most relevant to the current issue of the European。US 10-year bonds and 10-year European government bonds are near record highs spreads in the long term, will be the main thrust of the global bond yields lower。Because of this, market expectations for US interest rates could be increased to what extent should not be too conservative。