ECB's Mario Centeno comments - "We continue to expect a good inflation reading for November"

A speech has just begun with Mario Centeno, ECB banker, commenting on current monetary policy in the Eurozone. Here are the most important comments made by him:

• We need to be patient
• ECB is dependent on incoming data
• Inflation dynamics are falling faster
• Incoming data will tell us how long we will keep rates at this level
• Convergence to 2% inflation will be slower
• We continue to expect a good inflation reading for November
• We see no signs of second-round effects
• The European labor market is very strong
• Eurozone GDP data was not very optimistic
• There is concern about whether there will actually be a soft landing
• ECB needs to reduce its balance sheet
• I see no reason to accelerate the reduction of the APP portfolio

Overall, the banker's comments can be considered somewhat dovish. Mario Centeno indicates that the current level of rates may be enough to bring inflation to the 2% target, but adds that this may be a long-term process. Comments from other ECB bankers seemed a bit more hawkish recently. The EURUSD pair is holding above the abolition of the 23.6% Fibo of the upward wave initiated in September 2022 at the start of the European cash session. 

Source: xStation 5