ECB's de Guindos: Will start with passive QT
|"It's very difficult to have financial stability without price stability," European Central Bank (ECB) Vice President Luis de Guindos said on Wednesday, as reported by Reuters.
"I think that the main risk now for financial stability, for growth, is to have inflation at very high levels," de Guindos added.
ECB Vice President further noted that the balance sheet reduction must be implemented with prudence, noting that they will start with passive quantitative tightening.
Market reaction
The Euro (EUR) preserves its strength following these comments and EURUSD was last seen gaining 0.6% on the day at 1.0412.
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