Back

Draghi: lower inflation, accompanied by weaker real GDP growth and subdued monetary dynamics

FXStreet (London) - European Central Bank president Mario Draghi has made his opening remarks at the press conference following the ECB decision to hold rates at their current levels.

- “Next week, we will conduct the second targeted longer-term refinancing operation, to be followed by six further operations until June 2016. Taken together, our measures will have a sizeable impact on our balance sheet, which is intended to move towards the dimensions it had at the beginning of 2012.”

- “In the coming months, our measures will further ease the monetary policy stance more broadly, support our forward guidance on the key ECB interest rates and reinforce the fact that there are significant and increasing differences in the monetary policy cycle between major advanced economies.”

- “However, the latest euro area macroeconomic projections indicate lower inflation, accompanied by weaker real GDP growth and subdued monetary dynamics.”

- “The Governing Council, ECB staff and the relevant Eurosystem committees have stepped up the technical preparations for further measures, which could, if needed, be implemented in a timely manner. All of our monetary policy measures are geared towards underpinning the firm anchoring of medium to long-term inflation expectations, in line with our aim of achieving inflation rates below, but close to, 2%, and contribute to a return of inflation rates towards that level.”

- “Real GDP in the euro area rose by 0.2%, quarter on quarter, in the third quarter of this year. This was in line with earlier indications of a weakening in the euro area’s growth momentum, leading to a downward revision of the outlook for euro area real GDP growth in the most recent forecasts.”

- “The latest data and survey evidence up to November confirm this picture of a weaker growth profile in the period ahead. At the same time, the outlook for a modest economic recovery remains in place.”

USD/JPY falls to 119.65 amid a poor eurozone

The dollar is reacting lower against the Japanese Yen following the speech of Mario Draghi and his bearish outlook. The USD/JPY fell 30 pips from 119.95 to trade at daily lows around 119.65.
了解更多 Previous

Euro rallies in the absence of additional ECB measures

Euro rallied across the board Thursday during Draghi’s press conference in the absence of concrete news of additional easing measures.
了解更多 Next