RSS ECBs Elderson: If we lower the interest rate too fast, service inflation could rise

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 RSS ECBs Elderson: If we lower the interest rate too fast, service inflation could rise

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ECB's Elderson is lamenting and saying:

  • If we lower the interest rate to quickly, darling down services inflation sufficiently could become complicated.
  • If we keep interest rates too high for too long, then we risk undershooting our target.

What do we do? ECB is expected to cut rates at its next meeting

This article was written by Greg Michalowski at www.forexlive.com.
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