Eurozone inflation is set to remain "significantly above" the European Central Bank's 2% target, Bundesbank President Joachim Nagel says. "I think the energy price shock that started with that conflict in the Middle East is not over," he told CNBC in an interview on the sidelines of the ECB's forum in Sintra, Portugal. The bank's move to hike its key interest rate this month was "the right decision" given that the bank forecasts inflation to only return to target in 2028, he says. The fall in oil prices after the U.S.-Iran ceasefire agreement earlier this month was a surprise, though the inflation picture remains "very opaque". It remains too early to make a call about when the next rate move would be, Nagel said. (edward.frankl@wsj.com)
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Eurozone Inflation to Stay Above Target, ECB's Nagel Says — Market Talk
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Eurozone inflation is set to remain "significantly above" the European Central Bank's 2% target, Bundesbank President Joachim Nagel says. "I think the energy price shock that started with that conflict in the Middle East is not over," he told CNBC in an interview on the sidelines of the ECB's forum…