Trichet: Growth to be more negative this year than last staff forecast

GDP will be more negative this year than earlier staff forecasts, Trichet says to the surprise of no one. Inflation will be very low this year but there is no risk of deflation, he repeats. He all but pre-announces no move in February, saying the next important meeting is in March. He repeats the ECB front-loaded its last rate cut, assuming a deterioration through the March meeting.

he does not exclude unconventional monetary policy moves but says nothing is imminent.

EUR/USD remains offered, now at 1.3225.