ECB Villeroy says ECB is well positioned to act when needed, ECB's job is to avoid second round effects

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ECB Villeroy says ECB is well positioned to act when needed, ECB's job is to avoid second round effects

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Context

ECB Governing Council member Villeroy's comments indicate a readiness to act against inflation if necessary, stressing the importance of preventing second-round effects on the economy. This suggests a cautious yet proactive stance, which may influence market expectations regarding future rate decisions and the euro's strength against other currencies.

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