The data for June released today by the ECB signalled that the Money supply growth accelerated slightly but loans to the private sector decreased. the M3 rate of growth rose from 3.1% y/y (revised from 2.9% y/y) to 3.2% y/y. The annual total credit growth to the private sector fell from -0.2% to -0.4%. Loans to household remained unchanged at +0.3% (for home purchases +0.8%, consumer credit -1.9%). Loans to financial corporations fell from 0.0% to -0.6% y/y. The latest data signals that the situation of the credit market is still dire and increases the possibilities that the ECB may further ease monetary policy over the next week.