Wires are carrying comments from ECB’s Weber. The official still sees room to cut rates although once the current crisis is over rates must be quickly hiked again. Weber, head of Germany’s Bundesbank, feels Germany will remain in recession for a while, the country having exhausted its’ room for manoeuvre with the second stimulus package.
Weber feels other countries need to come to terms with the reality that their economies were doing worse than originally expected, saying “everyone must correct their long-term growth assumptions.”