ECB’s Escrivá: We need to monitor for second-round effects on wages
European Central Bank (ECB) policymaker and Governor of the Bank of Spain, José Luis Escrivá, said during the European trading session on Monday that the central bank needs to monitor for second-round effects on wages.
Inflationary pressures in the Eurozone economy have accelerated in recent months due to higher energy prices amid the Middle East conflicts.
Last week, ECB’s Escrivá also stressed monitoring the second-round effects of inflation wages while delivering a speech in Barcelona, but stated that “energy costs are spreading to services and transport”.
Market reaction
No immediate action seen in the Euro (EUR), following ECB Escrivá's remarks on inflation and its impact. As of writing, EUR/USD trades 0.23% lower at around 1.1445 due to US Dollar's (USD) outperformance.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Long-term US Treasury Sell-off Continues! 10-Year Treasury Yield Breaks 5.2% Again, “AI Boom vs. Rising Financing Costs” Narrative Showdown Intensifies
On Monday, oil prices rose and US Treasury bonds were sold off again as former US President Donald Trump rejected Iran's latest proposal to reopen the Strait of Hormuz, heightening concerns about inflation.
Banks Have Been Earning Effortlessly from Idle Funds for Years—Will AI Agents Change Everything?
For years, banks have profited from customers' idle funds, but AI agents may be about to change this situation.
Goldman Sachs: US stocks are showing a "strong index, weak confidence" pattern; catch-up rally may become the main theme of the next phase
Goldman Sachs stated that the current U.S. stock market is showing an unusual pattern: while index performance is strong, investor confidence remains weak. This suggests that the market still has further upside potential, and stocks that previously lagged behind leading AI stocks may soon experience a catch-up rally.
U.S. Stocks Weekly Macro Preview (Sep. 28–Oct. 2)
Crypto prices
More
