ECB Policymakers Seek Clarity on Rate Hike Path in Coming Months

Isabel Schnabel, an Executive Board member of the European Central Bank (ECB), said that the coming months will help clarify the bank's rate-hike path. According to her, policymakers will gain a clearer picture of how price pressures stemming from the Iran war are affecting the economy and inflation expectations.

The ECB has been closely watching the impact of the energy shock on the European economy, and Schnabel believes that the next few months will provide valuable insights into the effects of interest rate increases. She emphasized that policymakers will be able to determine how high to take interest rates based on this new information.