✉news BusinessBanking first seen 10 h ago, last 54 min ago, peak #1
ECB's Rehn says rising yields may offset energy inflation
Original: ECB's Rehn says soaring yields may curb inflation impact of expensive energy
European Central Bank policymaker Olli Rehn said soaring bond yields could dampen the inflationary impact of expensive energy, effectively doing some of the tightening work for monetary policy. Rising borrowing costs across the eurozone have put pressure on governments and markets, and policymakers are weighing how much this financial tightening reduces the need for further rate increases.
Why now: Bond yields have surged, raising questions about how financial conditions affect the ECB's inflation fight and rate path.
Olli RehnEuropean Central Bankeurozone
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