Central Banks
ECB Officials Urge Higher Rates Even as Inflation Retreats
- Knot isn’t convinced that ‘current tightening is sufficient’
- Schnabel says there’s ‘more ground to cover’ on interest rates
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European Central Bank officials called for interest rates to be lifted further — seeking additional reassurance on the inflation front as they look past more signs of weakness in the euro-zone economy.
Dutch central bank chief Klaas Knot said he’s “not yet convinced that the current tightening is sufficient,” telling lawmakers Wednesday in the Netherlands that “inflation could well remain too high for a long time and further rate hikes will then be necessary.”