Economics
ECB Draft Forecasts Assume Any Inflation Pickup Will Be Fleeting
- Hoarded savings won’t be depleted by spending, outlook shows
- Officials will discuss financing conditions on Wednesday
ECB headquarters in Frankfurt, Germany.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
The European Central Bank’s forecasts this week are likely to justify the current stimulus program with a cautious view that envisages no sustained jump in inflation, according to officials with knowledge of the matter.
The outlook that will be examined by policy makers assumes hoarded savings won’t be depleted in a sudden consumption boom when lockdown restrictions ease, said the officials, who asked not to be identified discussing confidential matters.