The European Central Bank left policy unchanged Thursday (September 10).
That was as markets expected.
But bank President Christine Lagarde said she stood ready to act:
"If and when necessary and warranted by circumstances and in accordance with our mandate the Governing Council is determined to use all the policy tools that is has available and to deploy them and calibrate them as necessary and as appropriate in order to deliver on our mandate."
Earlier this year the ECB pulled out all the stops to help halt an historic economic slump.
Now it’s holding fire while its ultra-easy monetary policy takes effect.
The central bank also wants to give governments time to implement their own measures.
On Thursday it marginally lifted its growth outlook for the year, buoyed by improving consumer demand.
But exporters are suffering from a stronger euro, which makes their goods more expensive overseas.
The single currency has gained 8% against the dollar in recent weeks.
Lagarde said that’s something she was monitoring, though she made no attempt to talk the euro down.
But she said the bank would almost certainly make full use of its Pandemic Emergency Purchase Programme.
It packs financial firepower totalling 1.35 trillion euros - about 1.6 trillion dollars.
The fund could be used to buy even more bonds, helping to keep government borrowing costs down.