ECB accounts affirm importance of restating data-dependent approach in communication

  • The fall in inflation was encouraging and had been broad-based
  • No room for complacency and now is not the time to lower the guard
  • Caution was warranted, as inflation would probably pick up in the near-term
  • Too early to be confident that inflation battle has been won
  • A need was seen for continued vigilance and patience, and for the maintenance of a restrictive stance for some time
  • Restating data-dependent approach was seen to be important
  • Members expressed increased confidence that inflation would be brought back towards the 2% target in 2025
  • Full accounts

The above commentary isn’t anything new and just reaffirms the central bank’s current stance. There wasn’t much of anything to speculate about the timing of a rate cut, so that doesn’t add much colour to the current picture on the rates outlook.

This article was written by Justin Low at www.forexlive.com. Source