Comments by ECB president, Christine Lagarde
- This is so the recovery can build its own momentum after
- It is more important than ever for fiscal, monetary policy to work hand in hand
- Euro area economic activity lost momentum going into Q4
- The resurgence in virus cases is weighing on services in particular
- Euro area economy expected to be severely affected by rapid increase in infections
- Expects headline inflation to stay in negative territory until early 2021
- ECB reserving favourable conditions for as long as needed to support jobs, credit
- Full speech
Lagarde also mentions that PEPP and TLTRO are likely to remain as the main tools for the central bank, so that continues to reaffirm market expectations that a rate cut is unlikely to be part of the "recalibration" going into the meeting next month.