- Euro area challenge is an adjustment process
- France is operating at the edge of its means
Jens Weidmann speaking at the Welt currency conference in Berlin.
Weidmann goes on to state that he is not isolated within the ECB and re-confirms that Buba would support ECB action if it’s needed and must look at causes behind the inflation prognosis. There is a relatively slight deflation risk he adds.
The headlines yesterday were read as a green light to the ECB but since then we keep getting little caveats thrown out. However, the mention of a slight risk of deflation goes against the grain of other council member comments.
It’s never bloody simple with the Germans is it?
