From Brussels: RISK INFLATION REMAINS HIGH

28 Mar

Posted by flicker as Technical analysis, European Stock Exchanges, News

The President of the ECB, Jean Claude Trichet at a hearing on the economic committee financial Parliament to Bruxellesha warned, and CIOA is that the risk of 'inflation remains high, warning especially on wages. At the same time the EU Commission warned that "the economy of the euro zone resists, but must deal with a degraded environment and a situation increasingly difficult." Indeed, "The period of high inflation - Trichet says - will last more than we expected" ee "the growth in wages could be more powerful than expected." 'It is imperative - reaffirms - avoid the effects of second level ". All this is obviously linked to the oil and food prices. The current policy on interest rates will help to ensure the stability of prices, yet the president notes, referring to the decision by the European Central Bank March 6 last year has left rates unchanged. "The outlook for stability financial dell 'Eurozone remains obscured by uncertainty," says Trichet, adding that it was not sure how to slap on the costs of turbulence financial, so it should be "more vigilant than ever" and he "is crucial to restore trust ".