Is the Euro area’s policy normalization likely still underway, according to ECB’s Villeroy?

During a speaking engagement on Tuesday, ECB policymaker Francois Villeroy de Galhau stated that the process of policy normalization in the Euro area is still ongoing. This is expected to be reflected in our upcoming meeting next week. In addition, the recent increase in French inflation serves as a promising signal. Currently, the euro is experiencing a slight decline of 0.32% and is trading at 1.1345 at the time of writing.