MNI BRIEF: EU Gentiloni: FinMins Looking At More Flexible NGEU

MNI: PBOC Conducts Net CNY2 Bln Via OMO Tues; Rates Unchanged

MNI: PBOC Sets Yuan Parity Higher At 7.0956 Tues; -4.88% Y/Y

CHINA PBOC INJECTS CNY2 BILLION VIA 7-DAY REVERSE REPOS TUES

CHINA SETS YUAN CENTRAL PARITY AT 7.0956 TUES VS 7.0947

MNI BRIEF: China Pork Prices Climb For 5th Straight Week

MNI: ECB Q1 ENTERPRISE CREDIT STANDARD +3

Easter Timing Buoys March Food Retail Sales

MNI: UK BRC MAR BY VALUE SHOP SALES LFL +3.2% YY, TOTAL +3.5% YY

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

MNI BRIEF: Lawmakers Signal Tough Hearing For BOC's Macklem

© 1982-2023 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Lagarde: Attentive To 2nd Round Inflation Effects

ECB

Q: What can interest rates do when much of the inflation is imported?

  • A: A large portion of the inflation is attributable directly or indirectly to terms of trade.
  • We are clearly seeing an unprecedented 75% of inflation items being above 2%, which applies to services and non-energy industry goods.
  • We are very attentive to wages and second round effects. We are not seeing the risk of spiralling, but we are seeing a pickup in wages. We are aware Germany will implement the minimum wage as of October 1.

Q: Why do you not expect too much of a recession risk?

  • A: On the negative front, the continued impact of the War, renewed lockdowns in China and reduced disposable income are risks. On the other hand, there are entire sectors of the economy such as hospitality and tourism that are recovering.
Fixed Income BulletsHomepageEuropean Central Bank (ECB) Market NewsBulletMarketsEmerging Market NewsForeign Exchange Bullets

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.