ECB’s Knot: Recession not a foregone conclusion

Dhwani Mehta FXStreet

European Central Bank (ECB) Governing Council member Klaas Knot said on Monday, “recession not a foregone conclusion.”

Additional quotes

“Q4 economic growth will be weak, maybe negative.”

“Need weaker growth for inflation to return to goal.”

“The green shift makes the return to low inflation trap unlikely.”

Market reaction

Despite the discouraging comments from the ECB policymakers, the EUR/USD is extending its recovery gains above 1.0400. At the press time, the pair is trading at 1.0421, up 0.27% on the day.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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