Here are highlights from ECB minutes from June meeting:
- Bank saw risk of Brexit abating just before June policy meeting
- It expected negative spillovers to euro area on leave vote
- Brexit implications hard to anticipate before vote
- Euro area recovery steady, moderate before Brexit vote
- ECB saw a greater impact from stimulus than June forecasts imply
- ECB saw increasing prospects of Fed rate hike in June
- EBC noted market concerns over bond shortage at June meeting
There is nothing surprising from ECB minutes from June meeting. ECB saw significant risks, although difficult to anticipate related with vote in the UK which obviously was known from the market. Euro is not responding to minutes.
Bloomberg concludes that "ECB foresaw unpredictable economic spillovers before Brexit vote".
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