The member of the Governing Council of the European Central Bank (ECB) and governor of the Central Bank of Ireland, Gabriel Makhlouf, said Tuesday that “uncertainty is weighing on investment; the soft data point to significant cooling in business and consumer feeling.”
Additional quotes
- Global economic integration is now stagnant, if not in recoil; The last weeks have seen an acceleration in the rhythm and the scale of change.
- Even if a large -scale commercial war turns out to be short duration, the effects of uncertainty will persist for some time.
- Monetary policy must adapt to the new nature of the supply shocks generated by geoeconomic fragmentation.
- Given the effects of size, scale and the most persistent nature of fragmentation -induced clashes, and their impact on prices, monetary policy responses will need careful calibration.
- The threats of disagreement of inflation, both from above and from below, justify energetic and persistent responses.
- The interest rate remains the predetermined policy lever in our toolbox; When it is limited by the lower limit, other tools such as the directed loan and balance operations are useful.
Market reaction
EUR/USD It keeps the rebound about 1,1115 after these comments, up 0.22% in the day at the time of publication.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
