Draghi: Inflation above 2% for rest of 2012, to fall below in 2013

• Economic growth expected to remain weak
• Financial market confidence has improved since OMT announcement
• Ready to undertake OMTs to avoid extreme scenarios
• Growth risks remain to the downside
• Growth momentum to be weak in 2013 (there is your rate-cut signal, just a matter of timing. I’ll go with January)
• Inflation risks broadly balanced
• Structural reforms are crucial to boost potential growth
• Consolidation efforts are bearing fruit

Webcast link here.