ECB Divergence From Fed Would Fuel Inflation, Holzmann Says

Reported 11 months ago

Robert Holzmann, a European Central Bank Governing Council member, warns that further ECB cuts could impact the euro exchange rate and inflation, especially if the U.S. Federal Reserve does not respond. The recent rate reduction, with Holzmann as the only dissenter, raises speculation on future ECB decisions amidst higher inflation forecasts. Despite his concerns, Holzmann acknowledges the council's decision, stating it was in line with the planned announcement for June.

Source: YAHOO

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