- Price stability remains absolute priority of ECB
- Inflation pressures have undoubtedly risen
- Would hike if second-round effects seen
- Inflation increase only temporary
- inflation pressures external, outside ECB control
The market is pushing up eur/usd as Reuters puts a hawkish spin on the comments by not reporting the last two bullets, which water down the first few…
Sounds like a two-handed Central banker to me…
Bloomberg shows that Mersch was even handed, laying the basis for a rate hike, but only if the unforeseen happens.
May be worth fading this strength with a tight stop…
