ECB Sees Need for Restrictive Policy Amid Inflation
ECB policymaker Primoz Dolenc stated that persistently elevated headline inflation supports moving policy rates toward a more restrictive territory. He noted that while growth remains resilient, risks to the inflation outlook tilt to the upside.
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ECB policymaker Primoz Dolenc said headline inflation rose to 3.8% last month, driven primarily by energy costs. The reading sits above initial central bank projections for the currency bloc. Investors must weigh rising borrowing costs against surprisingly resilient economic growth.
