Economics

Draghi’s First Good News in a Year Has $267 Billion Cost

  • Bloomberg survey sees ECB inflation outlook stable or higher
  • Draghi holds press conference June 2 after ECB meets in Vienna

Mario Draghi, president of the European Central Bank

Photographer: Martin Leissl/Bloomberg
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Mario Draghi may have bought himself a brief respite from the threat of deflation. The cost? More than a quarter of a trillion dollars.

On Thursday, the European Central Bank president should be able to deliver his first snippet of good news for a year on his mandate. Most economists in Bloomberg’s monthly surveyBloomberg Terminal predict the central bank’s forecasts for inflation and growth will be left unchanged or increased. Yet respondents see the relief as short-lived, with two thirds predicting more easing will eventually be needed.