FRANKFURT, Feb 12 - The European Central Bank repeated on Thursday its message that all economic signs pointed to euro zone recovery while inflation would ease, signalling interest rates are on hold for some time to come. The central bank also said it was concerned about excessive exchange rate moves, but the message was a close repeat of what has become a standard policy line in recent weeks and contained no reference to the most recent currency movements.
"Inflationary risks should be contained by somewhat more favourable import price developments, while the economic recovery in the euro area should proceed in line with previous expectations," the ECB said in its February monthly bulletin. The report's policy statement was an almost word-for-word repeat of the ECB's message last week when it explained why it left interest rates unchanged at a record low of 2.00 percent. Economists in a poll this week saw only a slight chance the ECB would cut rates to offset the strong euro, putting the likelihood at just 25 percent. Only a sustained rise above $1.35 -- from $1.28 now -- might trigger such a move.||