Trichet says ECB will act promptly on prices

The European Central Bank (ECB) is strongly vigilant on price risks and will act promptly if needed to tackle inflation dangers…

The European Central Bank (ECB) is strongly vigilant on price risks and will act promptly if needed to tackle inflation dangers, ECB President Jean-Claude Trichet said today.

"Success in the past gives no reason for complacency:  In the future as in the past, the ECB will continue to act promptly, where necessary, to contain risks to price stability over the medium term," he told an Austrian central bank conference on the euro.

Mr Trichet reiterated his message at the ECB's monthly news conference last week that the central bank's rate setting Governing Council was strongly vigilant.

He added that the ECB's credibility in fighting inflation was important in ensuring financial markets' inflation expectations remained anchored at a low level.