In the eurozone, there is inflation and deflation at the same time.
While money supply has been galloping at 11.5 per cent per annum, the Harmonised Index of Consumer Prices shows a mild deflation. Of course, the ECB is obsessed with the price index only, which is why it's so adamant about QE. However, the monetary inflation is more important, as it is obvious from this chart:
An extended period of double-digit monetary inflation may cause monetary bubbles being blown up. We've seen that from 2000 to 2006. The rest of the story is well known. Then, like today, the ECB paid no attention to monetary aggregates. A big mistake.
A white male with some professional experience in finance and investing.