Trichet Says ECB to Monitor Upside Price Risks Very Closely
This article is for subscribers only.
European Central Bank President Jean-Claude Trichet said the bank will continue to monitor inflation risks “very closely” after raising interest rates today for the first time in almost three years.
Monetary policy remains “accommodative,” Trichet said at a press conference in Frankfurt today after the ECB raised its benchmark rate by a quarter percentage point to 1.25 percent. “It is essential that recent price developments do not give rise to broad-based inflationary pressures over the medium term.”