Central Banks
ECB Is Watching Tightening Impact in Rate Judgments, De Cos Says
- Stronger-than-expected effect is a downside risk, he says
- Spanish governor adds that officials will monitor closely
Pablo Hernandez de Cos, governor of Spain's central bank, at the ECB And Its Watchers conference in Frankfurt.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
European Central Bank policymakers are watching to see if their tightening has crushed economic growth so much that it warrants a shift in policy, according to the Bank of Spain governor.
Speaking at the ECB and Its Watchers conference in Frankfurt, Pablo Hernandez de Cos presented a paper looking at the transmission into the economy from the unprecedented series of interest-rate hikes that he and his colleagues delivered since July 2022.