ECB releases the results of its latest survey of professional forecasters

  • 2020 GDP growth forecast -5.5% (previously +1.1%)
  • 2021 GDP growth forecast +4.3% (previously +1.2%)
  • 2022 GDP growth forecast +1.7% (previously +1.4%)

  • 2020 inflation forecast +0.4% (previously +1.2%)
  • 2021 inflation forecast +1.2% (previously +1.4%)
  • 2022 inflation forecast +1.4% (previously +1.5%)

The long-term inflation expectations remain anchored at +1.7%, though I would think that is slightly more optimistic given that it will take a considerable amount of time for the virus saga to pass us by and for the ECB to wean off recent easing measures.

Once again, much like other forecasts, just take all of this with a pinch of salt. This is all evolving day-by-day depending on the virus developments globally.