ECB Executive Board member Fabio Panetta said in an interview, “It was reasonable to increase rates in December and signal a similar step in February.”
“But beyond February any unconditional guidance – that is, guidance unrelated to the economic outlook – would depart from our data-driven approach.”
“Our December decisions were based on the projections available at that time. In March we will have new ones and should reassess the situation.”
“Inflation is still too high, but recent developments suggest that we can fend off the risks of second-round effects and bring down inflation by continuing to adjust our policy rates in a well-calibrated, non-mechanical way.”
