Germany's Bundesbank President and European Central Bank Governing Council member Nagel spoke on Monday.

Key points:

  • Transmission may be taking longer than in the past

  • Reiterates that a hard landing is unlikely

  • Too early to declare victory over inflation

  • Core inflation in euro zone is ‘very sticky’

  • Don’t currently see risk of overtightening

  • “We have to hike next time and I expect another 25 basis-point hike for the July meeting”
  • “For the September meeting, we will see what the data will tell us”


The ECB July meeting is next week:

ecb dates H2 2023 222