ECB's Rehn: ECB needs to tweak inflaiton target to make it genuinely symmetric

Eren Sengezer FXStreet

While speaking at the Warwick Economics Summit (WES), one of the largest student-run conferences in Europe, on Friday, European Central Bank (ECB) Governing Council Member Olli Rehn said that the ECB needs to tweak its inflation target to make it genuinely symmetric, as reported by Reuters.

"The pandemic is more likely to weigh on inflation for years to come," Rehn added. "The ECB should let inflation overshoot target after periods of persistently low price growth."

Market reaction

These comments don't seem to be having a significant impact on the shared currency's performance against its rivals. As of writing, the EUR/USD pair was up 0.63% on a daily basis at 1.2037.

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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