Central Banks

ECB’s De Cos Is Increasingly Sure Inflation Will Slow to 2% Soon

  • Stronger-than-expected transmission is downside risk to growth
  • Spanish central banker speaks at London School of Economics

Pablo Hernandez de Cos 

Photographer: Alex Kraus/Bloomberg
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European Central Bank Governing Council member Pablo Hernandez de Cos struck an optimistic tone on euro-area inflation slowing to target, the latest signal that officials will cut interest rates next month.

“All in all, we are increasingly confident that we are on the right track to achieve our 2% inflation target relatively soon,” the Spanish central banker said Wednesday, adding that while the “disinflationary process is fairly advanced” it is “yet to be completed.”