ECB's Peter Praet follows in Constancio's shoes in Mannheim

  • There is no ambiguity in ECB's ability and willingness to act
  • QE provides flexibility
  • Council will have to take into account increased inflation risk
  • ECB needs to think about consequences in pricing of risk and market volatility

The bolded comment is mildly dovish as it could insinuate that they may step up QE