Holzmann is head of the Austrian National Bank and thus on the European Central Bank policy-setting board.

Earlier post here:

The gist of this post is that the European Central Bank will set the size of a next tightening step in September (+50, or small or or larger) depending on developments in the economic outlook.

Bloomberg (gated) have added a little more:

  • The European Central Bank may have to accept a moderate recession to stem price pressures if it sees signals that inflation expectations are rising
  • “We hope that won’t become necessary”


The energy crisis in Europe looks to me like it has baked in an EZ recession, whether the ECB wants to 'accept' one or not.

oil gas russia pipeline pipe