Central Banks
ECB’s Lane Says Current Disinflation Is ‘Necessarily Bumpy’
- Chief economist sees price pressures returning to 2% next year
- Policymakers are expected to cut interest rates in June
This article is for subscribers only.
European Central Bank Chief Economist Philip Lane said the retreat in consumer-price growth is unlikely to be smooth.
While Lane expressed confidence that inflation is heading back to the 2% target in 2025, he said gains in wage and services costs remain elevated. He reiterated the ECB’s latest policy statement that hints at a cut in interest rates when officials meet in June.