MNI BRIEF: Inflation Expectations Anchored -ECB's Rehn
MNI (LONDON) - ECB policy helped keep inflation expectatrions largely anchored throughout the period of higher inflation and disinflation remains on track, ECB Governing Council member Olli Rehn said on Tuesday.
Speaking at a UBS conference in London, Rehn said inflation was at target in October and is expected to stabilise at that level early in 2025, Rehn said. The ECB remains data dependant, not data-point dependent, he said.
While the neutral rate is closer, but there is still no clarity as to where that level is. (See MNI SOURCES: ECB Heads For 25BP Cut; Risks From Trump, Germany)
Rehn also warned of the risks of a trade war -- from different regions -- and said the European Union must be better prepared for the possibility than in the past.