In brief, the underlying reasons for our decision were the following: incoming information has repeatedly indicated that the euro area is continuing to expand at a pace which is significantly faster than was generally expected one year ago. Looking to the medium-term future, the economic outlook remains favourable, too.
But, as I noted in April, hard data indicating that these favorable developments were quickening the pace of spending and production were not yet in evidence, and it was likely that the extent of the underlying vigor of the economy would become apparent only gradually.