Nowotny doesn’t see immediate need for ECB rate action

• I personally do not see a specific need for action on liquidity, premature to focus on one instrument like LTRO
• For the time being, I don’t see any acute need for changes in interest rates
• ECB doesn’t target exchange rate

Me and Ryan are on opposite sides about what the ECB will do next and I’d say these comments from Nowotny work in my favor.

A Nowotny comment on the euro is also getting some attention. He said a strong euro does have an effect on exports and they might have to consider it. That knocked the euro of its pedestal.