ECB's Villeroy: Rates to stay low, yield curve to stay rather flat in short-term - RTRS

Bank of France head and ECB governing council member is also crossing the wires alongside ECB’s Constancio, via Reuters, backing the case for negative rates policy.

Key Headlines:

There are limits to negative rates

There is a lower bound but we don't know exactly where

In the short term rates will remain low and yield curve will stay rather flat

Pace of rate rise will depend on inflation pick up

We have investment dearth rather than savings glut

Strong TLTRO take-up shows its strength

ECB policy was net positive for bank profitability