Central Banks
De Cos Says Can’t Predict How Much ECB Rates Need to Climb
- Uncertainty complicates anticipation of terminal rate
- Spain could be early indicator of price evolution in euro zone
Pablo Hernández de Cos
Photographer: Eduardo Parra/Europa Press News/Getty ImagesThis article is for subscribers only.
It’s unclear how far the European Central Bank will need to go in hiking interest rates, Governing Council member Pablo Hernández de Cos said.
“Given the enormous uncertainty that exists, it is not possible, however, to anticipate to what extent we should raise interest rates to ensure our medium-term inflation target,” de Cos, who heads the Bank of Spain, told lawmakers in Madrid on Tuesday.