ECB's Weidmann: Bond buys according to ECB capital key problematic, reiterates interest rates still appropriate
- Firm Euro no reason to cut medium term inflation forecast yet; further euro rise may significantly impact inflation.
- Negative rates could counter impact of strong euro, but sees no imminent decision on negative deposit rates.
- Still scope on conventional measures, but limited.
- Must weigh impact and costs of unconventional tools.
- ECB purchases of private top-rated assets an option.
- Negative rates could counter impact of strong euro, but sees no imminent decision on negative deposit rates.
- Still scope on conventional measures, but limited.
- Must weigh impact and costs of unconventional tools.
- ECB purchases of private top-rated assets an option.