As expected, the ECB cut its deposit rates by 10bps to 0.5% and announced that it will restart its asset-purchase program in November, buying EUR 20bn of sovereign and corporate bonds as long as the Euro area economy needs, and will end the program 'shortly before rising the key policy rate'. In addition, it dropped the calendar-based forward guidance and replaced it with inflation-linked guidance as we saw that inflation expectations have been falling in the past year. Figure 1 (left frame) shows that the 5Y5Y inflation swap is currently trading at 1.22%, down from