ECB's Weber sees Euribor as key to normalising monetary policy
STUTTGART, Germany | Mon Oct 25, 2010 12:44pm EDT
STUTTGART,
Germany Oct 25 (Reuters) - European Central Bank Governing Board member Axel Weber called on Monday for monetary policy to return to normal, when money market rates allow, in order to prevent inflationary pressures.
"The quicker the European interbank lending market recovers, the quicker we should withdraw unconventional measures," Weber said at an event on the future of the euro hosted by Baden-Wuerttembergische Bank in Stuttgart.
The key euro-denominated bank-to-bank lending rate Euribor
EURIBOR3MD= exceeded the ECB's 1 percent benchmark rate for the first time since July 2009 last Tuesday, a level that many believe signals the market has returned to normal conditions. [ID:nEAP000450]
He also said that the ECB needed to be aware of the dangers of keeping rates exceptionally low for too long.
"Interest rates haven't been this low since the days of Bismarck," said Weber, one of the most hardline inflation fighters on the ECB Governing Council.
***
Qui dovremmo fare l'opposto della FED.
Chi avrà ragione?