ICYMI - Overnight comments from ECB officials, all singing the 'transitory' inflation tune

A bit of a choruse on 'transitory from European Central Bank officials Lane, Stournaras, and Knott.

• ECB's Knot: Investors need to be aware of risks of structurally higher inflation

• ECB Stournaras: Those looking for a rate hike are probably in a hurry

• ECB's Lane: We are in an early stage of an energy shock

Knott saying rising energy prices are merely transitory. I guess in a long enough time frame everything is.

Lane with this gem:

• An energy price shock can simultaneously raise headline inflation but exert downward pressure on the path of underlying inflation

Stournaras:

• The ECB does not expect significant rising inflation in the medium-term
• Dismisses the rising energy prices

I do wonder if there is perhaps some groupthink going on at the ECB? To be fair they do not seem as far along the path to tapering (and what comes after) as many other DM central banks, but still. The risk of a major policy mistake at the ECB is rising. Still probably some way off but it is there.

As I tweeted earlier ...