ECB’s de Guindos: QT must be gradual, cautious

unwinding support: de Guindos
ECB Vice President Luis de Guindos said, on Thursday, that inflation pressures in the eurozone will remain high in the near term but the European Central Bank must unwind stimulus cautiously and gradually given the presence of exceptional uncertainties,.

“Medium-term inflation expectations remain anchored, close to our 2% target,” he said in a speech. “We need to move gradually and cautiously as we normalize our monetary policy.”

He said the ECB will end asset buys early in the third quarter and interest rates will rise some time following the conclusion of bond purchases.