ECB's Simkus: 50-Bps Should Be July Option If Data Worsen

The transcript discusses the European Central Bank's (ECB) efforts to manage inflation through monetary policy normalization. It covers the potential for interest rate hikes, the importance of long-term inflation management, and the risks of economic fragmentation. The ECB's strategies to anchor inflation expectations and the impact of external factors, such as the Russia-Ukraine conflict, are also examined. The ECB aims to achieve price stability and manage inflation without causing significant economic pain.

In what ways does the ECB plan to address the risk of fragmentation in the Eurozone?

How does the ECB plan to communicate its monetary policy decisions to the public?

What are the challenges the ECB faces in maintaining price stability amidst current inflationary pressures?