The introductory statement was almost identical to the previous month's. Small changes in the wording point to a slightly improved economic outlook (Survey indicators continue to signal an ongoing stabilization of economic activity sounded somehow more affirmative). The crisis has most likely affected production capacities, though, and uncertainty is still high - thus it is still too early for an all-clear. The assessment of inflation remained unchanged vs. the previous month (commodity prices imply transitorily negative inflation rates, which should turn positive again in the medium term), and inflation expectations, which are particularly firmly-anchored in the Euro area, remain within scope. The flow of loans improved slightly in August, which supports the economic outlook. Hence, it is vital and pressing (according to Trichet) that governments put in place consolidation strategies.
The EURUSD exchange rate barely reacted to today's meeting. Yields of German government bonds decreased slightly this afternoon, but as the same movement could be seen for Treasuries, it remains unclear whether the meeting was really the cause of that.