The European Central Bank said the near-term outlook for the euro zone economy is increasingly uncertain, but growth is expected to pick up later. "Real economic growth should gradually improve over the period ahead. At the same time, recent data have heightened the uncertainties surrounding the short-term evolution of domestic demand," the ECB said in its June monthly bulletin. It said recent euro zone data remain "on the downside" and persistently high oil prices and global imbalances may pose downside risks to the growth outlook. The ECB said the latest indications from survey data point to "relatively subdued" economic growth in the second quarter. But there is also reason to believe that the outlook will brighten eventually, it said. Underlying inflation pressures are expected to remain contained in the medium term, and headline inflation is likely to remain around its current 2.0 pct rate in the coming months, the ECB said. The bulletin editorial closely matches ECB president Jean-Claude Trichet's introductory statement to last week's ECB news conference.