The three charts below show the ECB forecasts for GDP growth, the inflation rate and the core inflation rate. They have been updated today with the ECB meeting.
Growth has been revised on the upside for 2017 but remains unchanged, compared to June, for 2018 and 2019. The inflation rate and the core inflation rate have been revised down. The inflation convergence will not take place before 2020.
Therefore you have to expect that the ECB interest rates will remain at the current level (0% on the refi rate) at least until 2019.
Philippe Waechter - Chief economist - Natixis Asset ManagementBLOG COMMENTS POWERED BY DISQUS