Comments by ECB chief economist, Philip Lane
- Overall PEPP envelope is a core determinant of ECB’s policy stance
- There is some rebound in economic activity
- But level of economic slack remains extraordinarily high
- The outlook remains highly uncertain
- Inflation outlook plays the central role in determining appropriate policy stance
Nothing that really stands out from Lane in the grand scheme of things. This just reaffirms that the ECB will stay committed to deliver on the full PEPP envelope – at the very least – by the middle of next year.
He is commenting on the macroeconomic impact of the coronavirus pandemic and the policy response by the ECB. The blog post can be found here.