ECB chief economist Peter Praet gave an interview to Reuters, just published
- ECB is to proceed at gradual pace
- Eurozone economy may have more slack than thought
- That is possibly slowing rebound of inflation
- There is a convergence between market prices and intended end date of QE
- Must be more precise on short-term rates once bond purchases end
- Rate guidance will need to be specified
- ECB will ensure policy controls short end of yield curve
Praet mainly echoing the governing council's thoughts on guidance and how they will view interest rates once QE ends.
Nothing new. The same rhetoric we've been getting for over a month now.
The full text for his interview can be found here.
