ECB Governing Council member Francois Villeroy de Galhau refrained from detailing specific plans for the upcoming September 14 meeting. But he added, “I’m convinced we are close or very close to the high point of interest rates.”
Also, “In our fight against inflation, maintaining rates for a sufficiently long period now counts for more than further significant rises”, he said.
Villeroy also weighed in on inflation and economic growth trends, asserting that inflation passed its peak at the start of the year.” He added that recent fluctuations in oil prices “should not change the underlying dis-inflationary trend.” i
As for growth, Villeroy offered a measured outlook. “For the entire euro zone, we don’t see a recession today,” he noted. “The picture for France and the euro zone is slightly positive growth, slower growth,” Villeroy added.
