Free Trial

MNI BRIEF: Inflation Outlook Still Highly Uncertain - Nagel

(MNI) London

Euro area interest rates will have to rise further, but it is not yet possible to say by how much or for how long they will need to remain elevated to bring inflation back to the ECB’s 2% target in a timely fashion, Bundesbank chief Joachim Nagel said in a speech Wednesday, with the course of inflation subject to high levels of uncertainty.

“In my view, the high degree of uncertainty relates not only to the short term, but also to the long term,” Nagel said, citing potential second-round effects, high prices of energy, commodities and other inputs, geopolitical tensions and climate change as factors that could still cause inflation to rise.

Nagel said Tuesday on German TV that "fighting inflation won't be a sprint, but more of a marathon".

MNI Frankfurt Bureau | +49-69-720-146 |
MNI Frankfurt Bureau | +49-69-720-146 |

To read the full story



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.