The euro zone economy remains on track for a slow recovery, European Central Bank President Mario Draghi said today, reiterating the ECB’s pledge to keep interest rates low for now.
«Real GDP growth in the second quarter was positive after six quarters of negative output growth and confidence indicators up to September confirm the expected gradual improvement in economic activity from low levels,» he told a news conference in Paris after the bank had left interest rates unchanged.
The ECB launched its forward guidance to keep interest rates low or lower for an extended period in July to fend off pressure on money market rates following the US Federal Reserve’s announcement to slow down its bond purchases.
He repeated that interest rates would stay where they are or lower for «an extended period of time».
Consumer price inflation in the euro zone slowed to 1.1 percent in September, EU statistics office Eurostat said on Monday. The ECB’s goal is just below 2 percent, though it looks at prices over the medium term.
Source: Buenos Aires Herald