CBs to price through swaps if QE comes

European inflation, as well as expectations of inflation, is continuing to fall, and the European Central Bank is likely to announce a quantitative easing (QE) programme in December, economists told GlobalCapital on Thursday. With core eurozone yields set to tumble ever further, the allocation of real money demand to the currency bloc’s periphery will accelerate and pricing of core covered bonds could become established at sub-Euribor levels.