Trichet says ECB vigilant on oil

European Central Bank president Jean-Claude Trichet said the ECB has to be vigilant over the recent rise in oil prices, but is confident that inflation in the euro zone will be below 2 pct in 2005.

This outlook for 2005 inflation is the reason why the ECB left its interest rates unchanged at last week's governing council meeting, he said at the International Monetary Conference.

"We are confident that we will deliver inflation below 2 pct, in line with our definition of price stability, in 2005