Monetary policy cracks emerge, Weidmann says

 

Jens Weidmann, a European Central Bank policymaker, says the risks associated with ultra-loose monetary policy are becoming clearer over time. “We shouldn’t ignore the fact that, even with monetary policy rates unchanged, the increase in inflation rates automatically leads to lower short-term real interest rates and, therefore, to a further loosening of the monetary policy stance,” Weidmann said
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