- Even if out central scenario is materialising, that doesn't mean the uncertainty elements have been erased.
- Disinflation has been a success.
- The situation was complex two or three years ago.
- The current interest rate at 2% seem reasonable to us.
- Risks to inflation are balanced and slightly negative for growth.
Escriva spoke yesterday at an event and the video got released later. He's not saying anything new here and just reaffirming the central bank's neutral stance. The readiness to move in either direction (cuts or hikes) is becoming the consensus among ECB's officials, but in absence of shocks, they won't react to slight deviation in their 2% target.
