Stock Groups

ECB shouldn’t overreact to temporary inflation spike, Lagarde says By Reuters


© Reuters. FILE PHOTO. The European Central Bank logo, Frankfurt, Germany. January 23, 2020. REUTERS/Ralph Orlowski/File Photo

FRANKFURT (Reuters) – European Central Bank President Christine Lagarde continued play down inflation worries on Tuesday and warned against overreacting to a temporary spike in prices.

She stated that it was crucial to not react to short-term supply shocks which do little for the medium term and to foster positive demand that can sustainably boost inflation towards the 2% target.

She said, “We won’t react to headline inflation increases that are not durable or reflected in the underlying inflation dynamics.” “We see no signs that this increase in inflation is becoming broad-based across the economy

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. CFDs include futures, stocks, indexes and Forex. Prices are provided not by the exchanges. They are published by market makers. Therefore, prices can be inaccurate and differ from actual market prices. These prices should not be used for trading. Fusion Media does not accept any liability for trade losses you may incur due to the use of these data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. You should be aware of all the potential risks and expenses associated with trading in the financial market. It is among the most dangerous investment types.

Banner 3