But of course the world is not that simple, and in fact there are serious pitfalls lurking behind strategic inferences drawn on the basis of comparisons of variances in policy rates. It is not too difficult to portray situations in which such inferences could be highly misleading.
To cut a long story short: If the expansion progresses as currently expected, substantial net purchases beyond the announced amount do not seem to be required. The recent appreciation of the euro seems unlikely to jeopardise the expansion, by the way. In fact, it is – at least in part – rather a reaction to the brighter growth prospects of the euro area.