• Expects growth to slow, weakening in demand, falls in PMIs noted
  • Present situation will have dampening effect on wages, prices and costs
  • Greek situation fast-evolving; closely monitoring; confident EU/IMF program will work
  • Securities purchase program temporary, limited
  • Heading toward mild recession by year-end
  • Long-term inflation expectations solidly anchored
  • Exit of euro zone country is not in the treaty; will not be lender of last resort to governments
  • Never pre-commits on rates
  • Today’s cuts no threat to price stability; does not see deflation
  • SMP will be assessed from monetary policy angle, not necessarily EFSF to take over that function
  • ECB balance sheet not at risk
  • Greek referendum threw markets into disarray
  • Chinese economy slowing mildly; expects important contributions from China at G20 summit
  • Greek situation exceptional and unique; sovereign signature important; no haircuts for other governments debt
  • Great admiration for the tradition of the Bundesbank; we’ll see if I follow in that tradition
  • Will not be “forced” to buy Italian debt; we are independent