ECB’s Elderson: Must ensure that high inflation doesn’t become entrenched

FX

European Central Bank Executive Board Member Frank Elderson said on Friday that the ECB must ensure that high inflation doesn’t become entrenched in people’s expectations, reported Reuters. Weaker economic data so far doesn’t suggest that the Eurozone is entering a recession, he added. 

Elderson’s remarks come after a series of hawkish remarks from other ECB officials earlier in the day. German central bank head Joachim Nagel said that the window for the ECB to take monetary policy measures was slowly closing. France central bank head Francois Villeroy de Galhau said  it is “reasonable to raise rates into positive territory by the year-end.”

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