ECB's Draghi: A very substantial degree of monetary accommodation is still needed

Eren Sengezer FXStreet

Mario Draghi, the president of the ECB, is crossing the wires, reiterating that a very substantial degree of monetary accommodation was still needed.

Key quotes:

The euro area’s economic expansion, supported by the ECB's monetary policy measures, continues to be firm and broad-based
Measures of underlying inflation, however, have yet to show convincing signs of a sustained upward trend
There are no indications of widespread asset price misalignments and credit developments remain modest
Headline inflation has increased largely reflecting energy and food inflation
Asset purchase programme, at current monthly pace of eur60 bln, is intended to run until end-dec 2017, or beyond
Progress towards durable, self-sustaining convergence of inflation towards 2% target not yet convincing

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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