• Expects positive CPI rate next month and rate of 0.5% by year end
  • Negative CPI is a one off, there is no persistent and continued price declines (I’ve got a chart that says different sir)
  • Prices will increase as demand recovers but expects them to remain subdued (persistently low perhaps?
    ;-)
    )
  • Price moderation is positive for purchasing power
  • Low CPI favours wage moderation and helps competitiveness and exports (which according to most are then blown out the water by the high euro. Can’t have it both ways)

Fernando Jimenez Latorre speaking in Madrid