Some members said data since the last meeting had not increased their confidence that inflation would approach 2%, according to the European Central Bank’s (ECB) monetary policy meeting in June, released on Thursday, Reuters reported.

Key conclusions

“There are some doubts about whether the economic recovery will occur as expected.”

“Although the impact of tight monetary policy gradually faded, the services sector was still less affected.”

“The labour market, members said, overall, remained consistently strong.”

“It was stressed that the forecasts were based on the assumption that energy and food price inflation would fall below their long-term averages.”

“Wages continued to rise at a rapid pace.”

“Members expressed differing views on directional changes in the balance of risks.”

“Therefore, more time is needed to gain greater clarity on the dynamics of the important factors driving inflation.”

“Any further delay in bringing inflation back to target could make it more difficult to continue anchoring inflation expectations in the future.”

Market reaction

The EUR/USD pair did not immediately react to the comments and has been little changed recently, hovering around 1.0800.