ECB chief Lagarde: Reiterates stance that Council expect to raise rates further; Withdrawing accommodation may not be enough on rates - comments from Frankfurt
- Will ensure that a phase of high inflation does not feed into inflation expectations
- Reiterates that inflation is too high in Euro Area and recession is unlikely to bring it down significantly
- Risk of recession has increased
- Reiterates that interest rates will remain the main tool for adjusting policy
- Appropriate that the balance sheet is normalized in a measured and predictable way
- Cutting public investment could harm economies
- Reiterates flexible reinvestment of PEPP will remain in place