Smets upbeat on growth

  • Eurozone growth better than staff forecasts suggests
  • Growth better than seen by staff in March. Investment rise likely not a blip
  • Low headline and core inflation is important point of concern; vigilance required
  • Eurozone wage growth is showing a downward trend
  • Announced measures need time to work but ECB would act again if there was a negative shock

The main takeaway is that the ECB is in wait-and-see mode, so don't expect any measures soon.