ECB Governing Council member Olli Rehn said “financial market expectations concerning the timing of the first interest rate rise are consistent with the Governing Council’s statements.” That is, ECB said in forward guidance that interest rates will remain at present levels at least through summer of 2019.

Meanwhile, he also added that “the need for extended forward guidance on monetary policy will also diminish, once inflation has reached sufficient progress towards the price stability objective.”

Regarding a hot recent topic of Italy, Rehn said ECB’s Governing Council “primarily looks at the development of the whole euro zone, and firstly from the mid-term price stability target point of view”. And, “monetary policy will be done based on that, not looking at just one member state but the whole euro zone.”

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