Jens Weidmann, a member of the Governing Council of the European Central Bank (ECB) and President of the Bundesbank, said Thursday that it is important that the ECB’s monetary policy remains expansionary, Reuters reported.
Featured statements:
“This time, the economic consequences are likely to be less severe than in the spring“.
“It is negligent to rule out that we have to deal with inflationary forces again in the future. ”
“The formulation of explicitly symmetric objectives would be clearer, easier to understand than the current wording.”
“We need to make it very clear that we are not going to put monetary policy at the service of fiscal policy“.
“The existing medium-term orientation provides a high degree of flexibility.”
“Inflation should really include the costs of owner-occupied homes.”
Market reaction
The pair EUR/USD It did not show an immediate reaction to these comments and is currently trading above 1.1830, up 0.9% on the day.
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Credits: Forex Street
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