• ECB is in a good place.
• Plan is to reduce monetary policy bond portfolios to zero.
• Euro strength concern to impact prices exaggerated.
• The economy is resilient.
• Growth outlook risks are balanced.
• ECB becoming more accommodating.

She generally leans more on the hawkish side. She sounds like the easing process for her is done already and she would need “significant inflation deviation” to force her to reconsider her current stance.

The market is pricing 20 bps of easing by year-end but that might not come to fruition if conditions improve in the next months and especially if we get a US-EU trade deal.

This article was written by Giuseppe Dellamotta at www.forexlive.com.