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Wunsch Continues To Warn On Wage Growth

ECB
  • ECB’s Wunsch says that wage rises are holding up rate cuts, with there being value in waiting for more data before cutting, in an appearance in Brussels.
  • One of the most hawkish ECB members, he sticks to similar lines from when he last spoke back in December on the need to see wages move to a level that's structurally compatible with 2% inflation.
  • Wage growth has of course received particular focus from ECB commentary recently, with President Lagarde saying Jan 30 that the ECB needs to see more data and with wage data "critically important".

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