ECB’s Villeroy: France should avoid recession, French banks are solid

Dhwani Mehta FXStreet

“France should avoid recession,” European Central Bank (ECB) Governing Council member and Bank of France head Francois Villeroy de Galhau said on Monday, adding that the “French banks are solid.”

“Regulation of French and European banks is better than that in United States,” Villeroy added.

Additional quotes

French banks have strong liquidity and capital.

Reaffirms ECB’s determination to bring down inflation.

French banks are not concerned by the banking problems we have seen in united states and switzerland.

Vigilant regarding food price and energy sector inflation.

We cannot allow inflation to settle into the system.

Would hope that, for the month of June, agricultural prices should go down.

Welcomes UBS’ purchase of Credit suisse.

Market reaction

Amid a renewed risk-aversion wave, EUR/USD is erasing early gains to trade flat at 1.0660, as of writing.

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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