ECB Governing Council member Francois Villeroy de Galhau reiterated his stance that ECB rate decision should be “data dependent”. In the upcoming meeting, policymakers will “assess actual economic data and we will act accordingly if and when needed.”

He acknowledged that policymakers would “take account of market indications” but emphasized “must not be market dependent”. That is ECB should not rely “too exclusively for inflation expectations on market-based measures”.

Additionally, Villeroy also noted monetary policy is limited as it cannot repair the damage from protectionism, or replace structural reforms or more selective fiscal policies. And, “monetary policies cannot do everything and cannot perform miracles.”

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