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Account of the monetary policy meeting of the Governing Council of the European Central Bank held on Wednesday and Thursday, 17-18 December 2025
Ms Schnabel started her presentation by noting that, since the Governing Council’s previous monetary policy meeting on 29-30 October 2025, the financial market narrative that ECB interest rates were in a good place had been further consolidated. Incoming data had reinforced expectations that inflation would remain close to the 2% target over the medium term and that the euro area economy would grow at a rate near potential. On the back of the resilient economy and stickier services inflation, expectations of further rate cuts had vanished, with both markets and survey participants expecting policy rates to remain ... (full story)
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ECB ACCOUNTS: THE VIEW WAS EXPRESSED THAT MAINTAINING INTEREST RATES AT THEIR CURRENT LEVEL REPRESENTED A FAIRLY SOLID PATH UNDER THE BASELINE OUTLOOK
— First Squawk (@FirstSquawk) January 22, 2026
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ECB ACCOUNTS: THE DECEMBER STAFF PROJECTIONS HAD STRENGTHENED CONFIDENCE IN THE MEDIUM-TERM OUTLOOK
— FinSquawk (@finsquawk_) January 22, 2026
- EURO AREA ECONOMIC ACTIVITY WAS PROVING MORE RESILIENT THAN PREVIOUSLY ANTICIPATED
- THE INFLATION OUTLOOK CONTINUED TO BE IN A GOOD PLACE
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ECB ACCOUNTS: MOST MEMBERS VIEWED THE RISKS SURROUNDING THE INFLATION OUTLOOK AS TWO-SIDED, WITH SOME MEMBERS JUDGING THAT THE DISTRIBUTION OF RISKS HAD SHIFTED UP
— FinSquawk (@finsquawk_) January 22, 2026