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The euro slipped to $1.2454, down 0.15 percent on the day from around $1.2467 before his comments. Constancio also said that buying sovereign bonds, or quantitative easing, would influence inflation expectations and the euro.
The euro has shed more than 9 percent against the dollar so far this year, as investors priced in a chance of outright bond-buying by the ECB as it grapples with sluggish growth and the threat of deflation.