ECB hawk emphasizes core inflation

Bundesbank President Joachim Nagel said that core inflation in the Eurozone is sticky. The hawkish member of the European Central Bank, Bundesbank President Joachim Nagel, said that core inflation in the Eurozone is still very “sticky.” Speaking at the International Economic Forum of the Americas in Montreal, Canada, Nagel said that they will not automatically cut interest rates and will evaluate the conditions at each meeting. “It is true that core inflation is still very sticky. We are on a bumpy road. The last mile will be the most difficult part of the whole road,” Nagel said. Emphasizing that they should not be overconfident and too optimistic, Nagel said, “We are not on autopilot. The easiest way to deal with this situation is to evaluate from meeting to meeting.”