Created
: 2025.09.01
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
ECB's Rehn: Inflation uncertainty calls for flexible policy
World FX news
Breaking news
ECB's Rehn: Inflation uncertainty calls for flexible policy
New
2025.09.01 08:28
2025.09.01 08:28
2025.09.01 08:28
European Central Bank (ECB) Governing Council member Olli Rehn said that current uncertainty over inflation developments calls for "flexibility" in policymaking, Bloomberg reported on Sunday.
Key quotes
There are more downside risks to inflation stemming from a stronger euro, cheaper energy and easing of core inflation, together with the damage trade-policy has caused to the global economy.
Economic shocks in the euro area are now more complicated than before and there's great uncertainty over inflation, which calls for flexibility in reacting to shifts in the economy.
Rate decisions are taken meeting by meeting, based on the latest available data.
Even as economic growth has held up and inflation stabilized, there's no reason to be complacent in the euro area.
Market reaction
At the time of writing, the EUR/USD pair is trading around 1.1690, up 0.04% on the day.
ECB FAQs
The European Central Bank (ECB) in Frankfurt, Germany, is the reserve bank for the Eurozone. The ECB sets interest rates and manages monetary policy for the region. The ECB primary mandate is to maintain price stability, which means keeping inflation at around 2%. Its primary tool for achieving this is by raising or lowering interest rates. Relatively high interest rates will usually result in a stronger Euro and vice versa. The ECB Governing Council makes monetary policy decisions at meetings held eight times a year. Decisions are made by heads of the Eurozone national banks and six permanent members, including the President of the ECB, Christine Lagarde.
In extreme situations, the European Central Bank can enact a policy tool called Quantitative Easing. QE is the process by which the ECB prints Euros and uses them to buy assets - usually government or corporate bonds - from banks and other financial institutions. QE usually results in a weaker Euro. QE is a last resort when simply lowering interest rates is unlikely to achieve the objective of price stability. The ECB used it during the Great Financial Crisis in 2009-11, in 2015 when inflation remained stubbornly low, as well as during the covid pandemic.
Quantitative tightening (QT) is the reverse of QE. It is undertaken after QE when an economic recovery is underway and inflation starts rising. Whilst in QE the European Central Bank (ECB) purchases government and corporate bonds from financial institutions to provide them with liquidity, in QT the ECB stops buying more bonds, and stops reinvesting the principal maturing on the bonds it already holds. It is usually positive (or bullish) for the Euro.
Last updated
: 2025.09.01
Related articles
Canadian Dollar falls once again as Loonie support withers
2025.09.11 03:11Forex Today: Focus shifts to US CPI, while the ECB is seen "on hold"
2025.09.11 03:10WTI rises as geopolitical tensions overshadow bearish US EIA data
2025.09.11 03:05Dow Jones Industrial Average misses out on post-PPI rally, declines over 200 points
2025.09.11 01:30Swiss Franc gains after weak US PPI; SNB's Schlegel signals cautious stance
2025.09.11 00:35United States FX Today: The US Dollar hinges on CPI inflation data
2025.09.11 00:08
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
Canadian Dollar falls once again as Loonie support withers
The Canadian Dollar eased further on Wednesday, declining around one-sixth of one percent and putting the USD/CAD pair on track to challenge its key 200-day Exponential Moving Average (EMA).
New
2025.09.11 03:11Forex Today: Focus shifts to US CPI, while the ECB is seen "on hold"
Mounting speculation of further rate cuts by the Federal Reserve next week weighed down the US Dollar (USD) on Wednesday, a view reinforced after US Producer Prices rose less than expected in August.
New
2025.09.11 03:10WTI rises as geopolitical tensions overshadow bearish US EIA data
West Texas Intermediate (WTI) Crude Oil surges on Wednesday, extending its winning streak for a third straight day as geopolitical tensions outweighed bearish US inventory data.
New
2025.09.11 03:05Gold climbs to $3,646 as soft US PPI and geopolitical risks lift safe-haven demand
Gold price surges on Wednesday, up by over 0.60%, folllowing US inflation data, which increased speculation that the Federal Reserve (Fed) will resume its easing cycle at the upcoming September meeting. At the time of writing, XAU/USD trades at $3,646, shy of the record high of $3,674.
New
2025.09.11 02:01Dow Jones Industrial Average misses out on post-PPI rally, declines over 200 points
The Dow Jones Industrial Average (DJIA) missed the mark on Wednesday, shedding over 200 points from the open. US Producer Price Index (PPI) inflation came in below expectations, bolstering bets of interest rate cuts from the Federal Reserve (Fed) next week.
New
2025.09.11 01:30Swiss Franc gains after weak US PPI; SNB's Schlegel signals cautious stance
The Swiss Franc (CHF) strengthens modestly against the US Dollar (USD) on Wednesday, with USD/CHF trimming intraday gains as the Greenback softens after softer-than-expected US Producer Price Index (PPI) figures further cemented market expectations that the Federal Reserve (Fed) will cut interest ra
New
2025.09.11 00:35United States FX Today: The US Dollar hinges on CPI inflation data
The US Dollar (USD) is moving cautiously on Wednesday, down slightly on the day according to the US Dollar Index (DXY), as markets hold their breath ahead of the eagerly awaited publication of the August Consumer Price Index (CPI) in the United States (US).
New
2025.09.11 00:08GBP/USD holds near 1.3550 as soft US PPI boosts Fed cut bets
The GBP/USD hoovers around the 1.3550 figure for the third straight day after the latest inflation report in the United States (US) showed that prices paid by producers dipped in August, increasing the chances for an interest rate cut by the Federal Reserve.
New
2025.09.11 00:07Eurozone FX Today: The ECB's pause comes under scrutiny
The Euro (EUR) is holding steady against the US Dollar (USD), trading at 1.1710 on Wednesday. A wait-and-see attitude prevails ahead of the European Central Bank's (ECB) monetary policy meeting, scheduled for Thursday at 12:15 GMT.
New
2025.09.10 23:32EUR/USD steadies above 1.1700 after US PPI miss, attention shifts to ECB
The Euro (EUR) is edging modestly higher against the US Dollar (USD) on Wednesday, as the Greenback lost momentum after weaker-than-expected US Producer Price Index (PPI) figures added to market bets that the Federal Reserve (Fed) will deliver a rate cut next week.
New
2025.09.10 22:38Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
