- Services inflation remains the top concern
- A prudent approach to monetary policy is needed
Meanwhile, ECB chief economist Lane is also out with some comments as per below:
- 2% inflation target is to be achieved fairly soon
- January services inflation was softer than expected
- It is best not to focus too much on neutral rate
All in all, just a couple of token remarks as they are still set to cut rates again in March. EUR/USD continues to trade narrowly today, now seen up 0.1% to 1.0393. Just be mindful of the large option expiries at 1.0400 as highlighted here.
