Draghi: Core inflation remains muted. Our inflation path is converging more slowly
Draghi in Portugal
- Some market based inflation indicators lost information content
- On: "If adverse contingencies were to materialized" vs "ECB will implement additional stimulus unless the situation on growth and inflation improves", says the change in guidance language was due to lingering uncertainty, which is a materialization of risk
Draghi is doubling down on the dovish shift today, saying it was deliberate and due to 'lingering uncertainty'
- ECB does not target the exchange rate