Finnish central bank governor Olli Rehn said on Monday that the European Central Bank’s Governing Council was determined to act if the medium-term inflation outlook continues to fall short of its target of below but close to 2%. “Despite the stronger labor market and accelerating wages, inflationary pressures remain muted, and indicators of inflation expectations have declined with the weakening economic outlook,” Rehn, a Governing Council member, said in a speech published by the central bank. “A significant degree of monetary stimulus continues to be necessary to ensure that financial conditions remain very ... (full story)