Reportedly, the ECB is analyzing the possibility of the change of the current inflation target of "below but close to 2%". It weakened the EUR
Euro reaches session peaks on hawkish Draghi remarks
On Tuesday, the common currency edged up to the day’s peaks after European Central Bank President Mario Draghi told that there’re quite clear signs of a broadening and strengthening revival underway in the euro zone area.
The currency pair EUR/USD edged up 0.53%, trading at 1.1239, the highest value since June 14.
Draghi told that the ECB sees surge, which is above trend and perfectly distributed across the euro area, though repeated that a considerable degree of stimulus is still required in the euro zone, and the ECB needs to be prudent in how to unwind it.
The comments arose at the ECB’s central banking forum i during the keynote speech, Portugal.
Mario Draghi told that the ECB’s policies have turned to be effective in rebuilding inflation, though stressed that the reflationary process was being hampered by a slew of external price shocks, altering relationship between inflation and slack.
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