Oil Prices Now Key Factor for ECB Policymakers: Nagel

Bundesbank President Joachim Nagel emphasized that oil prices have become a key consideration for European Central Bank policymakers. Speaking at a financial event in London, he stated that while ECB rates are still in neutral territory, he cannot exclude the need to move into mildly restrictive territory if price pressures persist.

Nagel highlighted that core inflation is still too high and that policymakers remain vigilant. He noted that energy costs have spilled into broader prices but stressed there's no significant second-round effects so far.