ECB governing council member Moulin said falling oil prices have eased price
pressures in the euro area, leaving the central bank well positioned after last
month's rate hike. He said it is too early to forecast the July and September
meetings but officials have made clear "we will not enter a new rate-hiking
cycle." Moulin added "for now we are in a favorable position" and that the
"risk balance is at a reasonable level." He said the oil decline should relieve
services inflation and that "we have not yet seen second-round effects."
