The ECB’s May monetary policy account confirmed that the central bank remains preoccupied with upside inflation risks and despite slowing down the pace of hikes, it was seen as imperative to emphasize that hikes will continue going forward. The monetary policy account from the ECB’s May monetary policy meeting confirmed that inflation risks are what the central bank continues to worry about most. While a number of members had initially supported another 50bp rate hike, the case for slowing down the pace of hikes to 25bp increments prevailed in the end. Nevertheless, it was seen as imperative to emphasize that the ... (full story)