Lagarde opening statement at ECB press conference: Vaccine underpins expectation of a ‘firm’ rebound in economic activity.
Also added some important points about covid 19 and speaks about Inflation has picked up on idiosyncratic events but underlying pressure remains low.
- Governing council expects PEPP in this quarter to be conducted at significantly higher pace than in Q1
- PEPP envelop need not be used in full if favorable financing conditions maintained; can also be boosted if needed
- GDP was 4.9% below pre-pandemic level at year end
- Economic may have contracted again in Q1 but points to resumption of growth in Q2
- Business investment has shown resilience
- Medium term risks more balanced
- Headline inflation likely to increase further in coming months
- Inflation expectations are at subdued levels