ECB's de Cos: Negative GDP reading for Q3 possible

European Central Bank (ECB) policymaker Pablo Hernandez de Cos said on Wednesday that he feels more confident that the trajectory of inflation might lead them to target, per Reuters.

He added that they could get to the inflation target if interest rates are maintained for a sufficiently long period.

Key quotes

"Statement is conditional, based on current info."

"Different shocks may require different responses."

Market has understood very well our communication."

"A negative Gross Domestic Product (GDP) reading for Q3 is possible."

"Growth risk is skewed to downside."

"Core inflation has turned a corner."

Market reaction

EUR/USD showed no immediate reaction to these comments and was last seen trading flat on the day slightly above 1.0600.