ECB's Centeno: We should avoid undershooting on inflation

<ul><li>Q1 GDP is still looking stagnant</li><li>Do not see reasons for concern about wages</li><li>Inflation trajectory is good</li></ul><p>“We need to avoid that — the goal is 2% and we need to carry a policy
trajectory that takes us to 2%,” he said. “We should definitely avoid undershooting
inflation.”</p><p>These are dovish <a href="https://www.bloomberg.com/news/articles/2024-01-16/davos-2024-ecb-mustn-t-undershoot-its-2-inflation-target-centeno-warns" target="_blank" rel="nofollow">comments </a>from Centeno in an interview in Davos and they are a strong pushback against what Holzmann <a href="https://www.forexlive.com/centralbank/ecbs-holzmann-says-should-not-count-on-rate-cuts-at-all-this-year-20240115/" target="_blank" rel="follow">said</a> yesterday.</p>

This article was written by Adam Button at www.forexlive.com.