ECB in a different universe than the Federal Reserve, Trichet says

The European Central Bank may slow its asset purchases when rate-setters in Frankfurt next meet, but the monetary authority is not set to start phasing them out, a former head of the institution said.

In an interview with Bloomberg, Jean Claude Trichet noted that the ECB, unlike the Fed, had never promised to purchase exactly the same amount of bonds each month.

Furthermore, there was a difference between slowing purchases and beginning to move towards ending them, he seemed to imply.

"We are in a different universe, it seems to me, in the U.S. and in Europe,” Trichet reportedly said.

"In the U.S. you had a commitment to purchase exactly the same amount every month, and this is a clear-cut commitment. Tapering means something. In Europe there is flexibility."

He also pointed out how core inflation in the euro area was running at less than half the clip as in the US.

"Whatever decision they take, what is rejoicing to see is that the European economy is growing faster than was anticipated."