ECB Strategy review press conference live stream – July 8
|The European Central Bank (ECB) President, Christine Lagarde, is scheduled to deliver her remarks on the central bank's Strategy Review during a press conference at 12:30 GMT on Thursday.
Related Articles
ECB Special Meeting Preview: Three potential EUR/USD movers to watch
By dropping a single word, "below," the ECB would be sending a signal that it does not see 2% annual headline inflation as a ceiling, but rather as a more symmetric target. Will Europe take a page from America? The Fed went further by allowing future, hot inflation to compensate for past weakness. That would probably be a step too far for the German hawks.
ECB adopts symmetric 2% inflation target
The European Central Bank has shifted to a symmetric inflation target of 2% contrary to a ceiling at that level. That is a dovish shift, but one that was fully expected by markets. The ECB stated it would allow short-term deviations from that goal, including a moderate spell above target. This is a step back from the Federal Reserve's laxity – allowing higher inflation to compensate for previous undershooting.
About ECB's special meeting
European Central Bank policymakers will hold a special meeting in Frankfurt in a bid to wrap up the institution’s strategy review. The gathering is expected to put the finishing touches on a new definition of price stability. The discussion, while not a formal monetary policy meeting, may also shape the ECB’s plans for when and how to exit the emergency measures it deployed during the pandemic. Its 1.85 trillion-euro ($2.19 trillion) bond-buying program is set to run at least until March 2022.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.