Beniot Coeure speaking in Paris
- Outlook for global growth has clearly weakened
- Financial market volatility affects FX rate
- ECB doesn't have a FX target
- FX rate affect prices and inflation developments (we're banging that drum again are we?)
- Euro appreciated fairly significantly in recent weeks (and the effect from the drop from 1.40 is...???)
- Inflation expectations have stabilised
- Whatever happens, inflation will only rise very slowly in the Eurozone
- Eurozone economic activity should continue to improve but less than previously thought
- Recovery has not been derailed by turbulence in recent month
- Potential growth in Eurozone is not high enough
- Mon pol can't change long term growth
- Risks to EZ economy are to the downside
Bank of Spain's governor Luis Maria Linde is also out saying that the Fed waiting shows global growth has weakened a little
EURUSD has softened from 1.1450 to 1.1423