ECB President Q & A June 8th 2017

posted in: Monetary Policy, Notes | 0

ECB President Mario Draghi

The ECB has not discussed normalization

“You asked me about normalisation: was it being discussed? The answer is no.”

Rates not expected to go lower

“if you ask me now, “What do you expect?” I would say that based on a current assessment, current information, I don’t expect lower interest rates. If you ask me, “But in case things were to worsen, are you ready to lower interest rates?” the answer is yes.”

On inflation

“nothing has substantially changed as far as inflation is concerned. There is going to be also in the coming months, by the way, a significant amount of volatility due to oil prices and food prices, but the underlying inflation is basically staying what it is today. So what we see now, based on the current information, is a path of low inflation, underlying inflation, and flat across time…the risk of deflation has dissipated.”