Further comments by ECB chief economist Peter Praet
- 'Growth accident' means that growth cycle will stop
- May come from rising protectionism or emerging markets slowdown
- Central bank guidance will be recalibrated as needed based on global risks
Well, the Fed and ECB so far has shown little cause of concern for the trade rhetoric and emerging markets. Their statements touched a little on them but board members have been quick to brush them off more often than not, so Praet's comments here can be construed as a little bit of a softer stance to the matter.
Nonetheless, unless things blow up much more in both risk areas mentioned, it won't derail the Fed or the ECB from tightening monetary policy at this juncture.
