Comments by ECB governing council member, Olli Rehn
- The danger of deflation has reemerged
- We won't opt for early withdrawal of policy
- It is better to be safe than sorry in this case
The continuous mention of 'proportionate' from ECB policymakers is part of the script to reaffirm that their actions are fitting as opposed to what the German constitutional court adjudged QE to be last month.
Rehn's other remarks just confirms that PEPP stimulus will be here to stay and may stay on for longer if the economic recovery proves to be more dragged out than anticipated.
