Bank of Spain´s governor Pablo Hernández de Cos and therefore European Central Bank Governing Council member Pablo Hernandez de Cos spoke in an interview with Cypriot newspaper Politis published on Sunday.
do Cos firmly highlighted the importance of the Bank's new outlook for inflation and economic growth. These are due in March:
- “The projections will be key to assessing, first, whether we can be sufficiently confident that our 2% medium-term target will be achieved, taking into account the associated risks, and second, the rate path that is compatible with reaching our symmetric target,”
On recent data de Cos added:
- “inflation figures have been somewhat below projections,”
- disinflation in the EU is “well advanced”
- disinflation is likely “to continue in the coming quarters”
Yep, the March ECB meeting, which will be accompanied by the new forecasts by the Bank, is shaping up as a critical new piece of information.
On Thursday last week ECB Chief Economist Philip Lane said those revised forecasts would provide “the opportunity for a comprehensive update of our medium-term inflation outlook.”
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Eyes on March 7:
