23:07:59 29-04-2024
ECB's de Guindos: not pre-committed to a particular rate path
At a Euro 50 Group meeting on Monday, European Central Bank (ECB) Vice-President Luis de Guindos highlighted the ECB's progress on inflation, but pulled back from making any clear projections on the pace of rate cuts.
Key highlights
- Not pre-committing to a particular rate path.
- Risks to growth outlook remain elevated, tilted towards the downside.
- Expects consumer spending to strengthen.
- Economic activity is improving, albeit gradually.
- Stronger-than-expected policy transmission could produce downside shocks.
- Geopolitical landscape remains an upside inflation risk.
- 2% inflation target to be hit in 2025, but substantial risks remain.
- Wage growth is showing signs of easing.
- Inflation is expected to fluctuate near current levels for now.
- The slowdown in services inflation has stalled.
- Still plenty of work to be done on inflation.
- Inflation still headed in the right direction.