- The current interest rate is appropriate based on inflation developments, our projections and the transmission of monetary policy.
- We are living in a very complex and uncertain world with numerous risks.
- Despite rising real incomes, consumption remains subdued. Maybe because households fear higher taxes in the future.
- Markets are not always wrong, but they are not always right either.
- Thursday decision was unanimous.
- We all agree we must keep all options open.
- If the situation changes, we will adjust out stance accordingly.
- An independent central bank is the best protection against high inflation.
- Inflation expectations only stay low if investors and consumers trust the central bank to keep prices stable.
- It’s particularly critical if monetary policy is constrained by fiscal policy – what we can fiscal dominance.
This article was written by Giuseppe Dellamotta at investinglive.com.
