Free Trial

MNI BRIEF: Indicators Show EZ Inflation Edging Down-De Guindos

(MNI) London

The ECB still has work to do to bring inflation back to 2% in a timely manner, bank vice president Luis de Guindos said in speech Friday, although he highlighted that, despite ongoing uncertainty over the outlook, underlying inflation is now clearly on a downward path.

Underlying price pressures remain strong, he said, but most indicators have started to show some signs of softening, while the range of measures has begun to narrow.

“This suggests that the unusually high level of uncertainty around the downward trajectory of inflation over the medium term has started to ease somewhat. A closer look at some of these indicators however, reveals that some are levelling off only recently.”

De Guindos’ remarks contrast with those of Bundesbank boss Joachim Nagel, who earlier this week highlighted uncertainty over the inflation outlook and identified a number of factors that could lead to further price rises.

MNI Frankfurt Bureau | +49-69-720-146 |
MNI Frankfurt Bureau | +49-69-720-146 |

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.