<p>ECB Minutes: <a target=“_blank“ href=“https://www.ecb.europa.eu/press/accounts/2022/html/ecb.mg221006~a5f7fb03f3.en.html“ target=“_blank“ rel=“nofollow“>Account of the monetary policy meeting of the Governing Council of the European Central Bank held in Frankfurt am Main on Wednesday and Thursday, 7-8 September 2022</a></p><p><a target=“_blank“ href=“https://newsquawk.com/headlines/ecb-minutes-inflation-was-far-too-high-and-likely-to-stay-above-the-governing-council-s-target-for-an-extended-period-projected-inflation-path-remained-tilted-to-the-upside-over-the-entire-projection-horizon-06-10-2022″ target=“_blank“ rel=“nofollow“>Newsquawks Bitesize Post</a></p><p>Key Points:</p><p>Inflation was far too high and was expected to remain above the governing council’s target for an extended period of time.</p><p>A large number of members favoured raising the key ECB interest rates by 75 basis points.</p><p>Expectations for inflation remained stable, and wage growth remained moderate, with little evidence of second-round effects.</p><p>Over the entire projection horizon, the risks associated with the projected inflation path remained skewed to the upside.</p><p>The size of the upward revision in the staff inflation projection for 2024 was not deemed large enough to necessitate a more aggressive response.</p><p>The expected slowdown in economic activity would not be sufficient to significantly reduce inflation.</p><p>Without a timely reduction in monetary policy accommodation, inflationary pressures caused by euro depreciation may worsen.</p>

This article was written by Ryan Paisey at forexlive.com.