Free Trial

MNI BRIEF: Likely Downward '24 Mar Inflation Projection- ECB

(MNI) London

The European Central Bank's Governing Council stressed that headline and underlying inflation figures “had recently been continuously below the predicted levels”, suggesting a faster disinflationary process and a likely downward inflation revision for 2024 in the March projections, accounts of the January policy meeting showed on Thursday.

The GC members highlighted that staff projections tended “to underestimate changes in inflation momentum in both directions” and that these downside inflation surprises “were currently occurring in parallel with downside growth surprises and repeated signs of a stronger than expected transmission of monetary policy”, the accounts showed.

“The view was expressed that this suggested the risks to the inflation projections might be moving to the downside, especially for the short term”, the accounts showed, noting that the outlook for inflation remained clouded over the short term. (see MNI SOURCES: ECB Cut Expectations Range From 50-100BP In 2024)

MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
True
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
True

To read the full story

Close

Why MNI

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.