Markets to closely watch ECB meeting

The ECB meeting on Thursday is the prime event for markets seeking clarity on the bank’s response to a stalled recovery, disappearing inflation and the sluggish pace of reform in the eurozone.

Inflation in the €9.6tn euro economy dropped to a fresh five-year low of 0.3% in August.

Increased geopolitical risks from the intensifying conflict in Ukraine forced Europe to impose sanctions on its third biggest trade partner, Russia, a move which dented the faltering economic rebound even further.