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ECB Centeno: Faster-than-expected rate hike could backfire


  • I don’t see any unanchoring of inflation expectations
  • Standardization will not be constrained by budgetary considerations

Despite the general remark, I don’t think see this as an obstacle for policy makers at this time. As inflation continues to soar in the region, they will feel compelled to act and keep doing it – as long as they can get away with it before the door closes.

This article was written by Justin Low at forexlive.com.

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