ECB Minutes: headline inflation slightly lower than previously expected

Account of the latest monetary policy meeting of the Governing Council of the European Central Bank (ECB), held 19-20 July 2017 were released just a while ago.

Key points:

   •  headline inflation slightly lower than previously expected due to oil, exchange rates
   •  more favorable growth outlook increases confidence that inflation will gradually converge to target
   •  core inflation shows tentative signs of pick-up, still needs conclusive evidence of upward trend
   •  it was generally judged paramount to avoid signals that might prove premature, be prone to over-interpretation
   •  accommodation required in either direction if needed
   •  rate setters expressed concern about possible market overshooting, notably in FX