Central Banks
ECB’s Wunsch Favors Waiting for More Data Before Cutting Rates
- Belgian official says pay growth is holding up easing
- Many officials signaling they’d prefer first rate move in June
This article is for subscribers only.
European Central Bank Governing Council member Pierre Wunsch said he’d prefer to wait for more data — particularly on workers’ pay — before deciding to start cutting interest rates.
Wage growth is running at a level that’s not compatible with the ECB’s 2% inflation target, the Belgian official said Thursday. If it wasn’t for the increase in salaries, monetary easing could already begin, he said.