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Morgan Stanley CEO says ECB's decision is positive for markets

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The European Central Bank's decision to expand its asset-purchase program will help global markets, Morgan Stanley Chief Executive Officer James Gorman said.

[NEW YORK] The European Central Bank's decision to expand its asset-purchase program will help global markets, Morgan Stanley Chief Executive Officer James Gorman said.

"It's a positive. We've been waiting for something like this, we've now got it," Mr Gorman said on Thursday in an interview with Bloomberg Television in Davos, Switzerland, adding that the decision will probably prompt the euro to fall.

"This is a very important first step and a necessary step."

ECB President Mario Draghi said the central bank will buy 60 billion euros (US$69 billion) per month of securities until September 2016.

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The ECB also reduced the cost of its long-term loans to banks.

A near-stagnant economy and the risk of deflation forced Mr Draghi's hand six years after the Federal Reserve took a similar step to inject cash into the US.

"What I'm interested to see is that investors, institutional and retail investors in Europe, see some appreciation in the markets," Mr Gorman said.

BLOOMBERG

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