ECB’s Nowotny: Discussions have begun about tightening policy

The European Central Bank Governing Council member Ewald Nowotny recently crossed the wires, via Reuters, saying that discussions on tightening policy have begun.

Key quotes (via Reuters):

• Negative rates were necessary ‘for a while’, question of distortion is dangerous
• Agrees with Weidmann who said ‘this is time to slowly go off gas’
• To reduce intensity of activity is reasonable, discussion to be had in autumn