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Weak inflation puts ECB in tight spot at Malta meeting

While falling prices might appear to be good for consumers, they can be poisonous to the economy, because they may persuade consumers to delay purchases in the hope of lower prices, in turn prompting companies to hold off investment and hiring.


FALLING prices in the eurozone are turning up the heat on the European Central Bank (ECB) to prevent the single currency area from slipping into a dangerous downward spiral of deflation.

But many ECB watchers say they do not expect the guardian of the euro to take any...

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