European Consumer Prices Fall 0.1%, Inflation at 1%

The transcript discusses the European Central Bank's (ECB) economic forecast and its measures to stimulate the economy, including increasing bond purchases and offering long-term loans to banks. It explains the difference between nominal and core inflation and how energy prices affect these metrics. The ECB's strategy to avoid market distortion while achieving its inflation target is also covered, along with the impact of exchange rates on its policy. The focus is on encouraging banks to lend to the real economy to foster growth.

What is the significance of the difference between nominal and core inflation according to the ECB?

What concerns does the ECB have regarding banks and lending practices?