ECB Executive Board member Peter Praet answering questions after his presentation:

  • We will likely have negative inflation in the context of falling inflation expectations
  • It’s a open question whether we can wait
  • If we had interest rate margin we would have cut
  • No one knows exactly the effect of unconventional policy

Praet sounding awfully dovish but he’s remaining diplomatic.

ECB Praet

Praet may talk with his hands more than BOC Governor Poloz

Update: Praet says inflation forecast will be ‘much lower’ than 0.7% due to oil