ECB’s Escriva says downside risks are more obvious than the upside risks

Forex Short News

Member of the European Central Bank Governing Council (the monetary policy setting board at the Bank) and Bank of Spain governor Jose Luis Escriva spoke on Monday evening in Madrid.

  • warned that risks to the euro-zone economic outlook are tilted to the downside
  • disruptive scenarios haven’t materialised
  • he stressed the need for caution amid extreme global uncertainty—largely driven by the U.S. political environment
  • noted that current uncertainty levels are the highest on record, surpassing events like COVID-19, the Ukraine war, and the 2008 financial crisis

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At its most recent meeting the ECB lowered its growth outlook

  • now expecting the economy to grow by only 0.9% in 2024 and 1.2% in 2025

This article was written by Eamonn Sheridan at www.forexlive.com.