ECB member Villeroy says we will achieve the 2% inflation target despite the noise

Francois Villeroy de Galhau, a member of the European Central Bank and Governor of the Bank of France, said during a speech in Paris on Tuesday that the central bank is committed to achieving the inflation target of 2% by next year, despite the expected fluctuations in monthly data throughout this year.

- We monitor the actual inflation data, especially for services.

- Monthly figures will be volatile due to fundamental effects on energy.

- This noise doesn't make much sense.

- We are still moving more towards expectations.

- We will reach the inflation target with a soft landing.

 

Although the ECB has recently cut interest rates by a quarter of a percentage point, some officials within the bank have expressed caution regarding the possibility of further rate cuts.