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In a blog post, Chief Economist Lane calls......>

ECB
ECB: In a blog post, Chief Economist Lane calls the ECB's expansion of PEPP by
EUR600bln "the proportionate response to the substantial downward revision of
the economic and inflation outlooks and the significant deterioration in
financial conditions". 
- Says that "while conditions in financial markets have stabilised substantially
since the PEPP announcement, the situation remains fragile. This fragility
underlines the continued need for the central bank to be flexible and exercise a
market stabilisation function to the extent necessary."
- Going forward, "the incoming economic and financial data and future projection
rounds will provide essential guidance as to whether the pandemic-related
negative shock to inflation dynamics has been sufficiently contained."

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