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Kubelkova Argues Against Wage-Price Spiral

CZECHIA
  • CNB’s Kubelkova sees year-on-year inflation remaining higher into the end of the year but doesn’t see any significant further increase, according to an interview with Lidove Noviny.
  • Kubelkova also pointed toward a tougher external backdrop likely worsening economic conditions at home, which should work against inflation pressures in the coming quarters. As such, she does not see the risk of a wage-price spiral to the same extent as other board members.
  • Consumer and business confidence data deteriorated in October, slipping to -2.9 from -2.6 prior. Consumer confidence index dropped to -34.5, the lowest since 1999.

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